Obama Signs Biodiesel Tax Credit Measure Into Law

President Obama has signed into law a tax measure that reinstates a biodiesel tax credit of $1 per gallon.

Obama signed the legislation Friday after the House of Representatives gave its final approval to a comprehensive tax package, news services reported.

The law retroactively reinstates the biodiesel tax incentive for 2010 and extends it through 2011.

The biodiesel industry and the U.S. Environmental Protection Agency said recently that U.S. biomass-based biodiesel producers have the capacity to meet an 800 million-gallon federal mandate in 2011, despite uncertainty over the tax-credit extension.