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March 11, 2024 |  By: Tanner DeHaven

California may be allowed to buy Iowa animal emissions tax credit

Cattle Emissions

Iowa factory farms could cash in on newly proposed carbon emissions tax-credit rules in California.

Under new emissions standards, California would be allowed to buy tax credits from Iowa and other states, to offset diesel emissions in The Golden State. Iowa's Commercial Animal Feeding Operations - or CAFOs - are considered less carbon intensive than wind and solar operations because some CAFOs have installed anaerobic digesters, removing methane from liquid manure which then operators can sell as "environmentally friendly" fuel.

Supporters of the new rules argue emission tax-credit plans like these are designed with the greater global good in mind with the goal of reducing emissions planet-wide. Iowa Citizens for Community Improvement member Brenda Brink argued this emissions tax credit plan would encourage out-of-state and even international owners to build more CAFOs in Iowa - and with more than 4,000 already, the state is the nation's leader in large-scale ag operations.

The public comment period for this issue just wrapped up and a decision is expected this spring.