By Laura Sanicola

(Reuters.) – U.S. lawmakers weigh a bill that would permit soybean oil-based fuel to receive an unprecedented tax credit. It is a victory for biofuel producers but a defeat for environmental groups, who say that crops-based fuels undermine the advantages of greener energy.

As part of its ambitious goals to reduce aviation emissions by 20%, the White House has promoted sustainable aviation fuel. It is currently produced in very small amounts from animal fat and cooking oil.

Many industries seek ways to reduce vehicle emissions. However, certain modes of transportation, such as heavy trucks and aircraft, can be difficult to switch to electric power.

The biofuel groups claim it would be difficult to reach these goals without the use of ethanol and soybean oils and are calling for changes to the existing model to determine eligibility for the tax credit.

Others argue, however that increasing demand for crops leads to more land being cleared both here and in other countries.

The tax credit that tax credits like the tax credit for biofuel blenders and other low-carbon fuel standards have helped petroleum refiners increase their production of greener fuels.

U.S. farmers, and the rapidly growing sustainability of aviation fuel industries were unhappy with an earlier version of the $1.75 billion Build Back Better bill being negotiated by Congress. A clause that required producers to show a minimum 50 percent improvement in carbon scores over the alternative fossil fuel, based upon a formula developed by International Civil Aviation Organization (ICAO), was opposed.

Three times more land-use penalties for ICAO than the U.S.’s leading model, GREET.

On November 3, the latest bill was updated to clarify that the production route for fuel could be similar to the one adopted by ICAO. It also meets the Clean Air Act criteria. You could allow fuels with soy-based fuel as well.

Nikita Pavlenko (senior researcher, International Council on Clean Transportation Fuels) stated that this opens the possibility of soy-derived SAF. He also warned about the potential for climate damage from a SAF credit. He said that ethanol-based fuels were less likely than ICAO, GREET and other standards.

According to the type of feedstock, the latest Build Back Better legislation places tax credits for SAF at $1.25-1.75 per gallon.

This could lead to U.S. refiners looking at producing aviation fuel that is more sustainably produced. Marathon Petroleum (NYSE -) are two examples of oil companies. Chevron (NYSE) have relied on soybean oil to fuel their renewable refining projects. They have therefore purchased soybean crushing facilities in order to maintain sufficient supply.