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Clean Energy Lauds Passage of Alternative Fuel Tax Credit

By: via Business Wire

The U.S. Senate yesterday passed legislation that will extend the Alternative Fuel Tax Credit for three years, beginning retroactively January 1, 2022. Andrew J. Littlefair, CEO and president of Clean Energy Fuels Corp. (NASDAQ: CLNE), the country’s largest provider of renewable natural gas (RNG), issued a statement in support of the bill:

“We are pleased that the Inflation Reduction Act of 2022 that was passed in the U.S. Senate yesterday included provisions that encourages the use of renewable natural gas (RNG), which is currently the cleanest transportation fuel available and powers tens of thousands of heavy-duty vehicles every day.”

The Act includes:

  • The renewal of the Alternative Fuels Tax Credit (AFTC) for three years beginning retroactively January 1, 2022. The AFTC provides a $0.50 per gallon fuel credit/payment for the use of RNG as a transportation fuel.
  • An investment tax credit of up to 30% for qualified biogas projects, including RNG digesters at dairies and other agricultural facilities. This could positively impact Clean Energy's and other's current and future investments in these projects and should accelerate RNG production investment leading to a greater supply of this ultra-clean fuel for the transportation market.
  • The Clean Fuels Production Credit creates a technology-neutral production tax credit available for the production of low-emissions transportation fuel. Such fuel would need to be approximately 40% cleaner than diesel to qualify for the tax credit, which most RNG derived from dairies and landfills should.
  • An extension of the Alternative Fuel Vehicle Refueling Property Credit which includes an increase of the 30% tax credit from $30,000 to $100,000 for alternative vehicle refueling property.

 Forward-Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that involve risks, uncertainties and assumptions, including without limitation statements about the scope of the Inflation Reduction Act of 2022 and its impact on Clean Energy’s business and prospects. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements. The forward-looking statements made herein speak only as of the date of this press release and, unless otherwise required by law, Clean Energy undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances. Additionally, the reports and other documents Clean Energy files with the SEC (available at www.sec.gov) contain risk factors, which may cause actual results to differ materially from the forward-looking statements contained in this news release.

About Clean Energy

Clean Energy Fuels Corp. is the country’s largest provider of the cleanest fuel for the transportation market. Our mission is to decarbonize transportation through the development and delivery of renewable natural gas (RNG), a sustainable fuel derived from organic waste. Clean Energy allows thousands of vehicles, from airport shuttles to city buses to waste and heavy-duty trucks, to reduce their amount of climate-harming greenhouse gas. We operate a vast network of fueling stations across the U.S. and Canada. Visit www.cleanenergyfuels.com and follow @ce_renewables on Twitter.

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