WASHINGTON—February 4, 2026 – Following yesterday’s release of the U.S. Treasury Department’s Notice of Proposed Rulemaking for the Section 45Z Clean Fuel Production Tax Credit, Patrick Serfass, Executive Director of the American Biogas Council, issued the following statement:
“The American Biogas Council commends the Treasury Department and Trump Administration for issuing proposed regulations for the Section 45Z Clean Fuel Production Tax Credit. This proposal represents initial action on the first of wo main steps needed to activate hundreds of millions of dollars of investments currently on hold that will support American companies and biogas projects to transform our organic waste into domestic energy and fertilizer.
“When Congress passed the One Big Beautiful Bill Act, it included helpful provisions to support the production of biogas energy, but the provisions have been unusable without two things: guidance from Treasury on how tax payers can use them; and an update of the 45Z Clean Fuel model GREET, the tool for calculating lifecycle carbon emissions for fuels. These proposed regulations are a huge step towards activating the investment community. We now need them to be finalized and for the Department of Energy to act on the 45Z CF model. There is room for improvement in the proposal and in related policies, but the most important thing the Trump Administration can do is move this process forward and unlock hundreds of millions of dollars of private capital to produce domestic energy and increase the sustainability of rural and urban communities, both economically and environmentally.
“The US biogas industry represents $40 billion of deployed capital in all 50 states, bringing $1-3 billion of new capital online every year. Biogas systems recycle waste, food scraps, manure, and wastewater, keeping communities safe and clean, and supporting local economies. This means investments in U.S. biogas systems buy American materials to build domestic energy and recycling infrastructure, run by American workers.
“The ABC looks forward to engaging with the Treasury and Energy Departments to finish the work Congress started to support our domestic, renewable fuels industry.”
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