Based on Bill Introduced with Sen. Cassidy
Washington, D.C. - Colorado U.S. Senator Michael Bennet joined Senator Bill Cassidy (R-LA) in introducing an amendment to end disincentives for liquefied natural gas (LNG) for marine vessels in inland waterways. The amendment would modernize the tax code to ensure excise taxes on LNG are based on energy output, which will allow the fuel to compete fairly with diesel and gasoline. The amendment is based on the bipartisan Cassidy-Bennet Waterway LNG Parity Act the senators introduced in December.
"Natural gas is an important part of Colorado's diverse energy portfolio, and it's critical to the nation's transition to an energy plan that meets our 21st century needs," Bennet said. "This amendment recognizes the benefits of alternative fuels for our economy and our environment. Providing parity to LNG for marine transportation - just as we've done for cars and trucks - helps create more opportunities to grow this market and encourages the use of Colorado-produced natural gas as a cleaner burning transportation fuel."
LNG is a cheaper, cleaner, domestic energy source and the current financing mechanism for the inland waterways system puts its use at a disadvantage. This bipartisan amendment would change the inland waterways financing rate to provide equal treatment within the federal tax code.