The American Farm Bureau Federation and several other ag and industry organization are urging Congress to include adequate funding for two programs that will move cellulosic ethanol closer to reality – the biorefinery grant program and the cellulosic loan guarantee.

According to a release,The two programs were created under the Energy Policy Act of 2005. The biorefinery grant program has been announced at $150 million and applications for new cellulosic facilities have already been received by DOE. The cellulosic ethanol loan guarantee program is administered by the DOE, but funds to run the loan guarantee office have yet to be appropriated. The department estimates $7 million is required to support this program.

Other groups lobbying Congress for appropriate funding or the two programs are the American Coalition for Ethanol, Environmental and Energy Study Institute, National Association of Wheat Growers, National Corn Growers Association, National Farmers Union and the Renewable Fuels Association.