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Home » Business News/Analysis, Deliver Dispense, Illinois, Infrastructure, Marketing and Sales, Policy

More than Just an Incentive

Submitted by on September 26, 2011 – 11:19 amNo Comment

by Bryan Sims (Biodiesel Magazine)   Illinois, B11 and Vehicle Warranties

…Specifically, the state employs a sales tax exemption for biodiesel blends of B11 or higher sold by retail stations in the state, which is good through Dec. 31, 2013. Created in 2003, the policy also provides a sales tax exemption of 20 percent on biodiesel blends from B1 to B10. Blends above B10 receive a total exemption from the state sales tax of 6.25 percent, which essentially creates an Illinois-specific market for B11.

…Illinois has been fortunate to not have encountered serious issues related to performance in diesel vehicles, particularly those whose manufacturers typically warranty up to B5, says Rebecca Richardson, consultant for MARC-IV and regulatory and education specialist for the National Biodiesel Board.
Richardson credits the success in minimal issues related to B11 usage to the proactive work by the Illinois State Bureau of Weights and Measures under the USDA, which provides oversight on fuel quality control to assure the fuel meets proper ASTM specs mixing with ULSD to correct issues before the fuel enters a consumer’s tank.

…Richardson says the majority of issues that pop up can be traced back to fuel handling, improper storage tank maintenance and so forth, in which case the Weights and Measures agency returns and reeducates those parties to remedy the situation. “It’s a constant educational process,” she says.  READ MORE

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