Cost-shared grants to increase access to higher biodiesel blends

By Ron Kotrba | May 04, 2020

U.S. Secretary of Agriculture Sonny Perdue announced May 4 that the USDA intends to make up to $100 million available in competitive grants under the Higher Blends Infrastructure Incentive Program, to expand the availability and sale of higher blends of biofuels.

Of the $100 million USDA is making available, $14 million will be available to support infrastructure for biodiesel blends above 5 percent. The grants will match up to 50 percent of eligible costs or $5 million, whichever is lower. USDA anticipates making approximately 150 awards and providing assistance to 1,500 locations with the available funds.

The majority of the funding, approximately $86 million, will be made available for implementation activities related to blends of ethanol greater than 10 percent.

“America’s energy independence is critical to our economic security, and President Trump fully recognizes the importance of our ethanol and biofuels industries and the positive impacts they deliver to consumers and farmers with an affordable, abundant, and clean burning fuel,” Perdue said. “American ethanol and biofuel producers have been affected by decreased energy demands due to the coronavirus, and these grants to expand their availability will help increase their use during our economic resurgence.”

Kurt Kovarik, the vice president of federal affairs for the National Biodiesel Board, said, “NBB’s members thank Secretary Perdue and USDA for supporting farmers and biodiesel producers. The Higher Blends Infrastructure Incentive Program will help the industry expand consumers’ access to cleaner, better transportation and heating fuels in the future.”

For application information and other program details, see the public inspection notice in the Federal Register, or visit the Higher Blends Infrastructure Incentive Program web page.


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