USDA OFFERS ADDITIONAL $ 450M FOR BIOFUEL FACILITIES
U . S . Department of Agriculture Secretary Tom Vilsack announced that USDA plans to invest up to $ 500 million from President Biden ’ s Inflation Reduction Act to increase the availability of domestic biofuels and provide additional cleaner fuel options at the pump .
Vilsack said , “ By expanding the availability of homegrown biofuels , we are strengthening our energy independence , creating new market opportunities and revenue streams for American producers , and bringing good-paying jobs and other economic benefits to rural and farm communities ,” Vilsack announced on June 26 .
In December 2022 , USDA made available $ 50 million in Inflation Reduction Act funding to expand the use and availability of higher-blend biofuels through the Higher Blends Infrastructure Incentive Program ( HBIIP ). Secretary Vilsack today announced the first awardees of 59 infrastructure projects that will receive a total of $ 25 million . To learn more , view the list of Higher Blends Infrastructure Incentive Program awardees .
In addition , USDA announced that in July the Department will begin accepting applications for $ 450 million in grants through HBIIP . These grants will continue to support the infrastructure needed to lower out-of-pocket costs for transportation fueling and distribution facilities to install and upgrade biofuel-related infrastructure such as pumps , dispensers and storage tanks .
Among the awards Secretary Vilsack announced :
• In Iowa , Kimmes Enterprises LLC will use a $ 510,500 grant to replace four E15 dispensers and four ethanol storage tanks at three fueling stations located in Carroll , Rockwell City and Baxter . This project is expected to increase annual sales of ethanol by approximately 635,000 gallons .
• In Minnesota , Farmers Cooperative
Oil Company will use a $ 623,500 grant to replace nine E85 dispensers , two B20 dispensers , two ethanol storage tanks and two biodiesel storage tanks at a fueling station in Barnesville . The project is expected to increase annual sales of biofuels by nearly 122,000 gallons .
• In New York , Carmel Terminals Inc . will use a $ 1 million grant to install four 50,000-gallon B10 bioheat storage tanks , a 25,000-gallon B10 on-road biodiesel storage tank and a B100 biodiesel storage tank at a fuel distribution facility in Carmel . The funds also will be used to install piping , circulation lines , a heating system for biodiesel flow control , electronics and other equipment . This project is expected to increase annual sales of biodiesel by more than 16 million gallons .
Additional awards will be announced in the coming weeks .
In addition , EPA recently finalized the highest-ever biofuel production targets in its history , with growth in cellulosic
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