Biodiesel and Ethanol Investing

Huron Daily Tribune reports that Lawmakers have passed a plan that will encourage the use and production of renewable fuels in Michigan by providing a tax credit to gas station owners who upgrade or purchase new pumps and tanks that sell ethanol or biodiesel fuel. The aim is to increase farmers’ profits and to create and protect local jobs, as well as to break dependence on foreign oil. The credit will begin in 2009 and would be available over the next three years with a limit of $1 million overall and $20,000 per taxpayer. The House also passed a plan that will create an Alternative Fuels Fund. The fund will award grants to improve the production of renewable fuels in Michigan. The plan also creates an income tax checkoff option that will help finance the fund.