MI HB4425

Creates the Sustainable Aviation Fuel Incentive Program administered by the Department of Environment, Great Lakes, and Energy to encourage production of sustainable aviation fuel in Michigan

Defines sustainable aviation fuel as fuel derived from biomass, waste streams, or renewable energy sources that achieves at least 50% life-cycle greenhouse gas emissions reduction compared to petroleum-based aviation fuel

Caps tax credit certifications at $4,500,000 for fiscal year 2025-2026 and $9,000,000 for each subsequent fiscal year

Requires producers or blenders to apply within 2 months after their tax year closes, with the department having 30 days to approve, reject, or request additional information

Imposes misdemeanor penalties (up to 1 year imprisonment and/or $1,000 fine) for purchasers who knowingly submit false certifications that fuel was used in aircraft departing from Michigan airports