Oregon drops canola biodiesel tax credit on lack of demand

In Oregon, the state’s House has passed out of committee a bill that would scrap the 5 cents per pound tax credit for canola grown in the Willamette Valley when used for biodiesel. The tax credit hadn’t been used very much as most of the oil produced in the valley is food grade, fetching a higher price than industrial oil used for biodiesel. The House and Senate also passed a bill all but banning canola production in the valley anyway.