Reinstatement of special rate for sustainable aviation fuel

(a) In general Section 45Z(a)(3) is amended to read as follows: (3) Special rate for sustainable aviation fuel (A) In general In the case of a transportation fuel which is sustainable aviation fuel, paragraph (2) shall be applied— (i) in the case of fuel produced at a qualified facility described in paragraph (2)(A), by substituting 35 cents for 20 cents, and (ii) in the case of fuel produced at a qualified facility described in paragraph (2)(B), by substituting $1.75 for $1.00. (B) Sustainable aviation fuel For purposes of subparagraph (A), the term sustainable aviation fuel means liquid fuel, the portion of which is not kerosene, which is sold for use in an aircraft and which— (i) meets the requirements of— (I) ASTM International Standard D7566, or (II) the Fischer Tropsch provisions of ASTM International Standard D1655, Annex A1, and (ii) is not derived from palm fatty acid distillates or petroleum.. (b) Conforming amendment Section 45Z(c)(1) is amended by striking and the $1.00 amount in subsection (a)(2)(B) and inserting the $1.00 amount in subsection (a)(2)(B), the 35 cent amount in subsection (a)(3)(A)(i), and the $1.75 amount in subsection (a)(3)(A)(ii). (c) Effective date The amendments made by this section shall take effect as if included in section 70521 of Public Law 119–21.