Praise for USDA Biofuels Grants

Cindy Zimmerman

After last week’s disappointing final biofuel volume rule from the Environmental Protection Agency, stakeholder organizations this week are happy with the U.S. Department of Agriculture for announcing new infrastructure funding.

Clean Fuels Alliance America says some of the new Higher Blends Infrastructure Incentive Program grants will increase consumer access to biodiesel from California to New Hampshire, by companies such as Crimson Renewable Energy, New Leaf, and World Energy. “Out of the $25 million in grants announced today, more than $6.9 million will be used to support consumer access to more than 104 million gallons of biodiesel,” said Kurt Kovarik, Vice President of Federal Affairs with Clean Fuels. “This program enjoys bipartisan congressional support and it is successfully opening new markets to biodiesel.”

USDA spotlighted Carmel Terminals of New York, which 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.

In July, USDA will begin accepting applications for another $450 million in grants through HBIIP. “We’re thrilled to see this new announcement from USDA Secretary Tom Vilsack, which will help bring lower-cost biofuel blends like E15 and E85 to more fuel retail locations around the country,” said Troy Bredenkamp, Renewable Fuels Association Senior Vice President for Government and Public Affairs. “RFA has been proud to assist retailers in the application process and to move these grants forward.”.

American Coalition for Ethanol (ACE) Chief Marketing Officer Ron Lamberty says they look forward to seeing more details of the program when they are released. “We thank USDA for allowing us to provide feedback and recommend changes we hope will make funds more accessible to single-store and small chain retailers. Those retailers are key to widespread availability of E15 and E85 and ACE continues to fight for them as the program evolves at USDA,” said Lamberty.

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