New Mexico Biomass Credit Rule Promulgated

Final rules issued by New Mexico's Energy, Minerals and Natural Resources Department establish procedures for certifying transportation of agricultural biomass to a qualified facility.

According to the rules, a qualified facility is one that uses agricultural biomass to generate electricity or make biocrude or other liquid or gaseous fuel for commercial use for purposes of the agricultural biomass tax credit.

The agricultural biomass tax credit (Regs. Sections 3.4.20.1 to .10) provides that a taxpayer owning a dairy or feedlot may claim a credit equal to $5 per wet ton of agricultural biomass transported from the taxpayer's dairy or feedlot to a qualified facility.