USDA invests $8.8 million to boost biofuels

USDA invests $8.8 million to boost biofuels

Payments made to biofuel producers who produce fuel from renewable biomass other than corn kernel starch.

Agriculture Secretary Tom Vilsack announced that USDA is investing $8.8 million to boost the production of advanced biofuels and sustain jobs at renewable energy facilities in 39 states.

"Advanced biofuels expand America's energy options and increase our sources of homegrown, renewable energy," Vilsack said. "These payments not only help to spur biofuel production, but also protect the environment and help create jobs by building a renewable energy economy in rural areas."

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USDA is investing $8.8 million to boost the production of advanced biofuels and sustain jobs at renewable energy facilities in 39 states. (Photo: photosoup/Thinkstock)

The funding is being provided through USDA's Advanced Biofuel Payment Program, which was established in the 2008 Farm Bill. Payments are made to biofuels producers based on the amount of advanced biofuels produced from renewable biomass, other than corn kernel starch. Examples of eligible feedstocks include crop residue, food and yard waste, vegetable oil, and animal fat. Through this program to date, USDA has made $308 million in payments to 382 producers in 47 states and territories. These payments have produced enough biofuel to provide more than 391 billion kilowatt hours of electric energy.

Secretary Vilsack has recognized the biobased economy as one of the pillars that strengthen rural communities. Through the Advanced Biofuel Payment Program and other USDA programs, USDA is working to support the research, investment and infrastructure necessary to build a strong biofuels industry that creates jobs and broadens the range of feedstocks used to produce renewable fuel. Over the course of this Administration, USDA has invested $332 million to accelerate research on renewable energy ranging from genomic research on bioenergy feedstock crops, to development of biofuel conversion processes and costs/benefit estimates of renewable energy production.

USDA has also supported efforts to build six new biorefineries to produce advanced biofuels in Louisiana, Georgia, Oregon, Nevada, North Carolina, and Iowa, in addition to three existing facilities in New Mexico, Michigan and Florida.

Investments in renewable energy and the biobased economy are a leading part of USDA's commitment to mitigating climate change and promoting a clean-energy economy.

Related: $10 million invested into biofuels research

Quad County Corn Processors Co-Op of Galva, Iowa, is receiving a $2,011 payment to convert more than 39 million gallons of corn kernel fiber into 660,000 gallons of cellulosic ethanol. The company converts the fiber into ethanol and other products using a process developed by its own research team.

Scott Petroleum Corporation in Itta Bena, Miss., is receiving a $13,165 payment to produce more than 2.6 million gallons of biodiesel from 3 million gallons of waste, non-food grade corn and catfish oil and poultry fat. The biodiesel is distributed throughout Arkansas, Louisiana and Mississippi.

View the complete list of producers receiving payments.

USDA has developed new markets for rural-made products, including more than 2,500 biobased products through USDA's BioPreferred program since 2009; and has invested $64 billion in infrastructure, housing and community facilities to help improve the quality of life in rural America.

Source: USDA

TAGS: USDA
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