Mike Pearson tells listeners how the IRS has released their plan to provide tax incentives for the production of sustainable airplane fuel.

Biofuel producers, environmentalists and airline companies have been searching for a way to cut carbon emissions from jet fuel which account for 2 percent of the total amount of emissions.

The main idea has been sustainable aviation fuel from bio-based materials rather than fossil fuels.

Sustainable airplane fuel (SAF) is not currently competitive with conventional jet fuel in the market place.

The Inflation Act instructed the U.S. Treasury Department to come up with a plan to make it competitive.

Under a newly released plant, biofuel producers can qualify for $1.25/gallon tax credit, which could increase.

U.S. Ag Secretary Tom Vilsack says the plan will emphasize plans to reduce emissions and give credit to farmers for practices in their operations, however, not everyone is on board with the plan.

Some members of different farm organizations say the specifics might be too restrictive and might not take into consideration the regional farming practices.

And others like energy companies are afraid the plan by the administration could stifle technology.

Farm Progress America is a daily look at key issues in agriculture. It is produced and presented by Mike Pearson, farm broadcaster and host of This Week in Agribusiness.