Illinois General Assembly Passes Biodiesel Rebate Bill

7 May 2005

The Illinois House unanimously approved a bill that makes biodiesel fuel blends of 20% or higher (B20+) eligible for state rebates and grants. The bill, Senate Bill 769, now leaves the General Assembly and heads to Illinois Governor Rod R Blagojevich who has said he will sign it.

Previously, only B80 or higher blends of biodiesel were eligible for the state EPA rebates. The rebates and grants are financed by an existing $20 fee per vehicle in fleets of 10 or more vehicles within the Chicago metro area, raising about $1.5 million per year.

Blagojevich early in his administration signed legislation to eliminate the state sales tax on E-85 fuel, making it less expensive than regular unleaded gasoline. (Earlier post.)

He also signed an Executive Order requiring increased use of both ethanol and biodiesel by state employees.