Texas HB405 sets fees for fuel ethanol, renewable methane, biodiesel, and renewable diesel producers.

Texas HB405 establishes fees for producers of fuel ethanol, renewable methane, biodiesel, and renewable diesel. Producers must pay 3.2 cents per gallon for fuel ethanol, renewable diesel, or MMBtu of renewable methane, and 1.6 cents per gallon for biodiesel. These fees apply until the 10th anniversary of production from the plant begins. The bill also adjusts grant amounts for these producers. If the bill receives a two-thirds vote in both houses, it takes effect immediately; otherwise, it becomes effective September 1, 2025.

Texas HB405 sets fees for fuel ethanol, renewable methane, biodiesel, and renewable diesel producers.

Texas HB405 establishes fees for producers of fuel ethanol, renewable methane, biodiesel, and renewable diesel. Producers must pay 3.2 cents per gallon for fuel ethanol, renewable diesel, or MMBtu of renewable methane, and 1.6 cents per gallon for biodiesel. These fees apply until the 10th anniversary of production from the plant begins. The bill also adjusts grant amounts for these producers. If the bill receives a two-thirds vote in both houses, it takes effect immediately; otherwise, it becomes effective September 1, 2025.