Sustainable Aviation Fuel: Tax Credit Extension and Increase
Also known as: SAF Act
Legislative Progress
✓ Filed
Review
Senate
House
President
Key Points
A group of Senators introduced a bill to help companies that make cleaner fuel for airplanes. This sustainable aviation fuel is made from renewable materials rather than traditional oil.
The bill would increase the tax credit for making this fuel. For the most efficient producers, the credit would jump from $1.00 to $1.75 per gallon, making it much cheaper to produce.
The plan extends these tax breaks for four extra years. Instead of stopping in 2029, the government would continue providing these financial incentives until the end of 2033.
To get the tax credit, the fuel must meet specific safety and quality rules. It also cannot be made from petroleum or certain types of palm oil that are considered harmful to the environment.
This policy is designed to lower the carbon footprint of flying. Since large planes cannot easily run on batteries, the government wants to make it more affordable for airlines to switch to cleaner liquid fuels.
Milestones
2 milestones2 actions
Feb 2, 2026Senate
Read twice and referred to the Committee on Finance.
Feb 2, 2026
Introduced in Senate
Source Information
Document Type
Congressional Bill
Official Title
SAF Act
Bill NumberS 3759
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Finance.
Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.