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Defining ag’s role in the production of sustainable aviation fuel

An Undersecretary at the USDA says the Biden administration’s tax and carbon modeling announced Tuesday helps define the role of agriculture in the production of sustainable aviation fuels.

Robert Bonnie says it starts with figuring out how climate-smart agricultural practices count. “You’ll see a more simplified version of that initially,” he says. We hope over the long term to be able to allow more participation of different crops, different combinations of climate-smart practices, and build that in a way into GREET that has good science behind it but also reflects the reality on the ground.”

In a meeting with reporters during the NAFB’s Washington Watch at the USDA, Bonnie said traceability will be crucial moving forward. “How do we develop systems where we don’t have to put a skew code on every single kernel of corn and soybean,” he says.  “But we can track commodities through the supply chain and can account for their carbon intensity scores. You already see companies starting to do that.”

He says the 40B Greenhouse gases, Regulated Emissions, and Energy use in Technologies (GREET) model addresses the indirect land use change. “The way that gets the science right, in a way that will work for US agriculture,” he says. 

Bonnie says the department is pleased with the announcement, but more work needs to be done.

Growth Energy CEO Emily Skor says the guidance crosses an important threshold in carbon modeling and, for the first time, recognizes that farming practices can reduce the carbon intensity of crops – and, ultimately, bioethanol production.  She says this is the first time the Department of Treasury has used the Argonne National Laboratory’s GREET model in federal tax policy. Skor says these are promising big-picture developments that signal agriculture is a key part of the nation’s climate strategy moving forward. But, says the restrictive all-or-nothing approach to recognizing the value of climate-smart ag practices may ultimately limit innovation and make farmers, blenders, and producers less likely to invest in emissions-reducing technologies. 

Skor says as the administration builds on the 40B GREET model, its guidance for the 45Z tax credit must be less prescriptive and more expansive.