The 45Z Clean Fuel Production Credit, first introduced under the Inflation Reduction Act and refined through the One Big Beautiful Bill (OBBB), is shifting once again. While many of the details are still being finalized, biofuel producers don’t have the luxury of waiting for certainty. The time to prepare — and strengthen your verification and communication strategies — is now.

To help you prepare, Pinion biofuels business advisors outline four proactive steps to strengthen your position ahead of upcoming industry shifts.

1. Act as if there’s certainty

With final 45Z rules yet to be released, many producers are moving forward based on the best information available. Get your compliance processes and documentation in order now to ensure you’re not scrambling later.

2. Strengthen your verification

To make your credits marketable and instill confidence among credit marketers and buyers, start with:

  • A third-party review of your 45ZCF GREET model CI score
  • PWA compliance validation
  • A third-party report supporting eligibility, so your credit marketers and buyers are confident

3. Strategize your credit income

If you’re planning to sell credits, map out how you’ll manage the proceeds:

  • Establish an escrow account until regulatory certainty is achieved
  • Plan for member distributions, employee bonuses, or capital improvements
  • Or consider a balanced approach across these options

4. Communicate transparently

Clear communication builds trust, both with members and with your farmer base. Explain:

  • What 45Z means for your organization
  • How it could impact members as owners
  • Whether and when benefits might flow back to corn growers

While Climate Smart Ag practices play a role in sustainability, they are not yet integrated into the current 45ZCF GREET model.

Regulatory uncertainty is inevitable, but preparation doesn’t have to wait. By taking these steps now, biofuel producers can stay ready to capture value from 45Z once the final guidance arrives.

Contact a Pinion biofuels business advisor to get your operation 45Z-ready.