Illustration: Aïda Amer/Axios
The farm bill is beginning to collide with the aviation sector's climate efforts.
Why it matters: The climate-smart ag money that's key to farm bill negotiations is relevant to the push to make more "sustainable" aviation fuel — and the IRA's benefit to industry.
Driving the news: Airlines and ethanol reps recently wrote top farm bill negotiators asking them to include the Farm to Fly Act. It would specify government use of a specific model for the IRA aviation fuel credit to let "climate-smart" ethanol blends qualify.
- We're awaiting a final answer from the administration on whether it'll let ethanol into the equation. News may come as soon as today.
- But for now it's clear that the farm bill is the industry's backup plan.
Between the lines: Aviation's unification with ethanol could create a potent political coalition for keeping climate-smart ag money in the bill.
- The climate-smart money is already going toward "sustainable" aviation fuel projects, including a major effort from fuel startup Gevo.
As we've explained, Republicans have wanted to remove the climate requirements on the money and let it flow into broader farmland conservation programs.
- House Democrats have dug in against the idea, telling Republicans in a memo last week obtained by Axios that the bill "must maintain the climate sideboards." (They bolded it in the doc themselves.)
What's next: Dusty Johnson, who chairs House Ag's commodity markets subcommittee, said he expects a farm bill before Memorial Day … though we've been talking about ETAs for a while now.
