BIO Applauds Senate Introduction of Renewable Chemicals Tax Credit
The Biotechnology Innovation Organization (BIO) today thanked Senator Debbie Stabenow (D-MI) and co-sponsors Sens. Tammy Baldwin (D-WI), Susan Collins (R-ME), Chris Coons (D-DE), and Al Franken (D-MN) for introducing the Renewable Chemicals Act of 2017 (S.1980). The legislation, if enacted, would create a targeted, short-term tax credit for production of qualifying renewable chemicals from biomass or investment in production facilities. Applicants for the tax credit would be evaluated on job creation, innovation, environmental benefits, commercial viability and contribution to U.S. energy independence.
The Senate bill is companion legislation to H.R. 3149 – The Renewable Chemicals Act of 2017, introduced in the House in June by Rep. Bill Pascrell (D-NJ).
Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section, stated, “The Biotechnology Innovation Organization and its members thank Senators Stabenow, Baldwin, Collins, Coons and Franken for their staunch support of U.S. renewable chemical companies. This new legislation will help U.S. companies compete in a rapidly growing global renewable chemicals market, revitalize domestic manufacturing, and create millions of new U.S. jobs.”
Stephen Rapundalo, President and CEO of MichBio, added, “Agriculture and manufacturing are two of the biggest sectors in Michigan's economy. By incentivizing biobased manufacturing, the Renewable Chemicals Act introduced by Senator Stabenow can help companies revitalize the manufacturing sector, generate new markets for agricultural producers, and create new jobs.”
Hugh Welsh, President of DSM NA, headquartered in Parsippany, N.J., added, “We are grateful for Senator Stabenow’s continued leadership and vision on innovation, renewable chemicals and a U.S. manufacturing renaissance as reflected in her sponsorship of the Renewable Chemicals Act of 2017. This legislation will further support employment, economic growth and continue to encourage global companies like DSM to make additional investments in the United States.”
Mark Schweiker, Senior Vice President of Philadelphia area-based Renmatix and former Pennsylvania Governor commented, “As many U.S. Senators now know, there is growing momentum for the biobased industry to commercialize cost-competitive pathways to bio-materials and renewable chemicals. The economy-building potential of this bill is tremendous and will stimulate the nascent U.S. renewable chemicals market, especially in rural America.”
Mike Belliveau, Executive Director of Environmental Health Strategy Center, from the state of Maine stated, “Demand for climate-friendly biobased products is high because people want safer, sustainable products. We have an emerging biobased manufacturing sector in Maine that can generate good manufacturing jobs, use forest resources sustainably, and revitalize our rural economy – if the right foundation is laid. A level playing field in federal tax policy will encourage more companies to replace fossil petroleum with renewable carbon in everyday products.”