By Simpson
05-01-07
ConocoPhillips and Tyson Foods announced a green sounding deal to make biodiesel fuel from leftover chicken parts, but Congressional Democrats are skeptical of a tax break the plan rests upon.
According to the Houston Chronicle Rep. Lloyd Doggett, D-Austin, is planning to introduce legislation that would make sure the tax break is reserved for farmers and small companies.
That was what Congress intended when it passed the $1-per-gallon tax break for bodiesel, not giants like ConocoPhillips and Tyson. However, a recent IRS interpretation opened the door for the big fellows.
The Chronicle’s David Ivanovich explains the little guys’ concerns like this:
“The National Biodiesel Board, which represents companies that primarily use soybean oil to make fuel, argue language that would allow the large integrated oil companies to take advantage of the tax credit will hurt their emerging industry, while handing over taxpayer dollars to some of the nation’s ‘richest companies.’”
Makes good sense to me. Big Oil doesn’t need anymore help at all.