On the Radio: Gas tax may lead to increased biodiesel use

(Rob E / Flickr)
(Rob E / Flickr)
May 4, 2015

This week’s On the Radio segment looks at a possible increase in biodiesel use due to recent changes in the Iowa gas tax. Listen to the audio below, or continue reading for the transcript.

Transcript: Biodiesel

Iowa’s recently approved gas tax may lead to increasing use of biodiesel.

This is the Iowa Environmental Focus.

Last month, the Iowa legislature approved a ten cent increase in the gas tax, revenue which will go toward fixing our aging roads and bridges. While the increase applies to both gasoline and conventional diesel, biodiesel received a three cent exemption from the tax for certain blends. Biodiesel proponents hope this provision will lead to expanded use of the fuels.

Iowa’s ten operating biodiesel plants produced 227 million gallons of the biofuel last year, from soybeans and other oils. The Iowa Biodiesel Board estimates that Iowa has an annual capacity of more than 300 million gallons. The Department of Revenue projects 13 percent of Iowa’s petroleum to be replaced by biofuels by 2020, short of the legislative goal of 25 percent.

For more information about biofuels, visit IowaEnvironmentalFocus.org.

From the UI Center for Global & Regional Environmental Research, I’m Jerry Schnoor.


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