Biomass Gasification and Methane Digester Property Tax Exemption

July 08, 2020


Michigan exempts certain energy production related farm facilities from real and personal property taxes. Among exempted property are certain methane digesters, biomass gasification equipment, thermal depolymerization systems, and equipment used to harvest crop residues or dedicated crops used for energy production.

In order to be eligible for the exemption, methane digester equipment must be certified by the Michigan Department of Agriculture (MDA) and the farm must be verified as compliant under the Michigan Agriculture Environmental Assurance Program (MAEAP). In addition, the facility owner must allow "access for not more than 2 universities to collect information regarding the effectiveness of the methane digester and the methane digester electric generating system in generating electricity and processing animal waste and production area waste". The exemption includes equipment used to generate electricity from methane digester systems and equipment used to generate heat or electricity from biomass gasifiers.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Michigan
Incentive Type: Property Tax Incentive
Web Site:
Administrator: Michigan Department of Agriculture
Start Date: 12/29/2006
Eligible Renewable/Other Technologies:
  • Biomass
  • Anaerobic Digestion
Incentive Amount: 100% exemption from real and personal property taxes
Maximum Incentive: None
Equipment Requirements: Methane digester equipment must be certified by the Michigan Department of Agriculture


This program has 1 incentives
Technologies: Biomass, Anaerobic Digestion
Sectors: Agricultural
Parameters: The incentive is 100.00 %


Name: MCL §211.9(j)
Date Enacted: 12/29/2006
Effective Date: 12/29/2006


Name: Michelle Crook
Address: 525 W. Allegan
Lansing MI 48909
Phone: (517) 335-2487

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.