The American Soybean Association (ASA) supports new pro-biodiesel legislation introduced by Senators Christopher Bond (R-MO) and Tim Johnson (D-SD) yesterday. The legislation, entitled the "Biofuels Air Quality Act," would allow biodiesel to compete for funds in the Congestion Mitigation Air Quality Improvement (CMAQ) program.

Representatives John Shimkus (R-IL) and Karen McCarthy (D-MO) introduced companion bill, H.R. 2788, on August 6. ASA endorses both pieces of legislation to amend CMAQ because biodiesel is being unfairly excluded. The CMAQ program funds transportation-related projects that are targeted to improve air quality as the federal government supports state and metropolitan agency efforts to make transportation more efficient while improving air quality throughout the nation. The Senate and House bills expand the CMAQ program’s authority to allow funding of alternative fuel projects that include purchases of biodiesel—a proven, cleaner-burning fuel made from natural, renewable sources such as soybean oil.

"We are pleased that U.S. Senators and Representatives recognize biodiesel’s value to clean air programs," said ASA President Marc Curtis, a soybean grower from Leland, Miss. "The legislation is good news for the environment and soybean producers since it will create additional demand for soybean oil, which is often in surplus."

According to the U.S. Department of Agriculture, a modest, nationwide market for biodiesel of 50 million gallons a year could increase farm income by $160 million annually.

Last year, Congress approved ASA-supported legislation to allow public vehicle fleets to earn credits under the Energy Policy Act (EPACT) of 1992 by using a blend of 20 percent biodiesel and 80 percent petroleum diesel, commonly called B20. Representatives Shimkus and McCarthy were champions of the legislation. ASA had made passage of that legislation one of its top priorities because it can add up to 11 cents per bushel to the price of soybeans as well as reduce U.S. dependence on foreign oil and encourage use of a cleaner burning fuel. It also gave vehicle fleet managers more flexibility to meet EPACT requirements. Federal, state and other public vehicle fleet managers using B20 or higher blends can earn one EPACT credit for each 450 gallons of biodiesel used by medium- and heavy-duty vehicles.

Since ASA gained Congressional approval of biodiesel use under EPACT, the National Biodiesel Board, National Renewable Energy Laboratory, Department of Energy, and state soybean boards have conducted numerous educational programs for fuel buyers to promote the use of biodiesel in their fleets.