House gives green light to gas tax exemption

The House of Representatives gave the go-ahead for a state gas tax exemption that is being hailed as "a first-in-the-nation," alternative biofuel initiative today.

The proposal calls for a decrease in the state's gas sales tax - presently 21 cents per gallon - in proportion to the amount of biofuel in each gallon of gasoline.

Such incentives will encourage fuel consumers to buy biofuels, make the biofuel industry more marketable and make investment in such industry less risky, according to the Advanced Biofuels Task Force Report.

The bill also mandates on the amount of biofuel content that must be present in all home heating oil and diesel in the state. The measure would achieve 5 percent biofuel threshold by 2013. Advocates of the bill argue such a move would help wean the state off fossil fuels and stimulate the alternative energy industry.

Local lawmakers applauded the proposal clearing the House hurdle.

"The legislation places Massachusetts at the (forefront) of innovative efforts to address our energy crisis,'' said state Rep. Pam Richardson, D-Framingham through a statement. "We are encouraging investment in fossil fuel alternatives, to the ultimate gain of consumers and the environment."

"The evidence is clear that the burning of fossil fuels continues to take a dramatic toll on our environment, and pain at the pump will only worsen as the price of gasoline exceeds $4 per gallon. These environmental and consumer costs demand solutions. Today the House voted to make Massachusetts a part of the clean energy solution,'' said state Rep. Tom Sannicandro, D-Ashland, in an e-mail.

Next up for the initiative is Senate deliberation.

"The House version of the bill is another step towards making Massachusetts a leader in innovative energy use and environmental conservation," said state Sen. Karen Spilka, D-Ashland in an e-mail. "The Senate has also been working diligently on a number of energy issues, and I look forward to the Senate incorporating its ideas to its own version of this important initiative."