Friday, April 12, 2024
HomeRegional NewsPOET: South Dakota Primed for Savings with New E15 Incentive

POET: South Dakota Primed for Savings with New E15 Incentive

PIERRE, S.D. (February 15, 2024) – POET, the world’s largest biofuel producer, today applauded Governor Kristi Noem and the South Dakota Legislature for passing Senate Bill 78, legislation which provides a five-cent per gallon retail tax incentive for E15, a gasoline blend made with 15% bioethanol. The bill was approved with near-unanimous support in the South Dakota Senate (33-0) and House (64-1). On Thursday, Governor Noem, a long-time champion of South Dakota biofuels, signed the E15 incentive into law.

“We are grateful to Governor Kristi Noem, Senate Majority Leader Casey Crabtree, Representative Drew Peterson, and all of our rural champions in the state legislature who came together to deliver bigger savings for South Dakotans with E15,” said Joshua Shields, Senior Vice President at POET. “With more retail stations offering E15, South Dakota will save millions of dollars each year, and every new gallon sold will fuel economic growth across our state.”

Last year, drivers saved an average of 22 cents per gallon with E15 compared to E10, with double or triple that savings in some areas. However, South Dakotans can only access savings at the limited number of gas stations where E15 is offered today. POET says Senate Bill 78 will change that.

Senate Bill 78, authored by Senate Majority Leader Casey Crabtree (R-Madison), creates a volumetric tax incentive on each gallon of E15 sold for calendar years 2025 through 2029. The incentive is designed to encourage fuel retailers to offer the cost-saving biofuel blend at more locations in South Dakota and help replace obsolete fueling infrastructure where needed. Funds for the credit will be provided from an existing bioethanol infrastructure fund overseen by the Governor’s Office of Economic Development. Several of the nation’s top corn-producing states, including Iowa, Nebraska, Missouri, and Illinois, offer various tax incentives on sales of E15.

“Senate Bill 78 will grow demand, boost value, and create even more opportunities for the 11,000 farms and 30,000 jobs already supported by bioethanol across South Dakota,” added Shields. “We applaud our leaders in Pierre for teaming up to fuel our state’s bioeconomy with homegrown E15.”

RELATED ARTICLES
- Advertisment -

Latest Stories