Wrapping Up Minnesota’s 2023 Legislative Session

  • Monday, 05 June 2023 09:08

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The 93rd Minnesota Legislative Session officially closed on Monday, May 22. By any objective measure, it was a historic session that saw the enactment of significant legislation related to the budget, infrastructure bonding, taxation, and employment and workforce law. The $72 billion two-year budget signed by Governor Walz represents an increase of nearly 40 percent as compared to the last biennium.

Despite a lower budget target for agriculture overall and the need for significant outreach and education to members of the DFL majority on biofuels specifically, we were able to secure several policy and budget “wins” that will serve to strengthen Minnesota’s biofuel industry. 

  • Biofuel Infrastructure: $6.75 million
    • The investments in biofuel infrastructure for 2024 and 2025 will increase the number of retailers in Minnesota offering higher blends of ethanol like E15 (Unleaded 88), which will lower costs for consumers and improve air quality through lower greenhouse gas emissions. With the help of this strong investment, we will soon surpass 500 retail stations selling E15 (Unleaded 88) in the state.
  • Bioincentive Program:  $11.5 million
    • Minnesota ethanol plants are producing next-generation, advanced biofuels that further reduce greenhouse gas emissions. The investments in the bioincentive program for 2024 and 2025 will help to spur development of new low-carbon fuels while promoting rural economic development. 
  • Intermediate Blends Reporting: More data = better research
    • Minnesota is the only state that reports monthly E15 (Unleaded 88) sales. The enactment of a provision to require more retail stations to report the gross number of gallons of intermediate blends (between 10 and 50 percent) sold will improve data collection efforts and allow us to better track sales growth and consumers savings. 
  • Clean Transportation Standard Working Group: Biofuel representation in the formation of a Minnesota Clean Transportation Standard
    • If crafted properly and combined with complementary policies – a clean transportation standard in Minnesota offers the potential to lower greenhouse gas emissions from our transportation sector and support rural, agricultural communities. A working group authorized to study and report recommendations to the legislature will include representatives from the biofuel industry. 
  • Sustainable Aviation Fuel Tax Credit: $1.50 per gallon
    • Providing tax incentives for the development and production of Sustainable Aviation Fuel in Minnesota will help spur new markets and new uses for biofuel and biofuel co-products like corn oil. 
  • EPA Emergency Waiver for E15 Summer Sales: Lower Prices All Summer Long
    • EPA provided certainty to fuel producers and retailers by approving an emergency waiver allowing the sale of E15 this summer. The benefits of E15 will remain available to Minnesota consumers all summer long.