Iowa Gov. Terry Branstad, Lt. Gov. Kim Reynolds and Sec. of Agriculture Bill Northey two weeks ago announced that $323,483 has been awarded through the third round of the “Fueling Our Future 100” initiative. The grant supports the installation of 13 new blender pumps and two underground storage tanks that can be used to distribute higher blends of renewable fuels. The funds are being awarded to three fuel retailers to assist in installing renewable fuels infrastructure at five sites across the state.
“Iowa continues to be the nation’s leader in renewable fuel production. Every one of these fuel pumps that is being installed, as a result of this third round announcement, benefits our agricultural economy, supports good jobs for Iowa families and gives consumers more choices at the pump,” Branstad said. “This is a win-win situation for Iowa families and our economy as a whole.”
A full list of sites receiving funding can be found here.
Lt. Gov. Reynolds added, “Thanks to the support of our federal partners at the USDA, the ‘Fueling our Future 100’ program is ensuring that consumers in our state have greater access to biofuels. This third round of funding to install 13 new blender pumps and two underground storage tank funds will continue to put Iowa on the forefront of an even greater renewable future. I would like to thank STAR Energy, Best Food Mart Inc. and Kum & Go for their efforts.”
In total, 226 blender pumps and 26 underground storage tanks will be installed at 78 sites by 20 companies to provide consumers with access to higher blends of ethanol through the program.
“Thanks to the investments made by the state, the federal government and by these companies, customers will have greater access to higher blends of renewable fuels. This will increase consumer choice at the pump and allow them to increase the amount of clean burning, homegrown renewable fuels they use,” Northey said.
Funding for these projects comes from a USDA Biofuel loan
The funding for the projects is from a $5 million competitive grant from the United States Department of Agriculture (USDA) Biofuel Infrastructure Partnership (BIP) program Iowa received to support the initiative. All funds must be matched by non-federal funds, including up to $2.5 million from the Iowa Renewable Fuels Infrastructure program. The fueling sites applying for assistance will also be required to provide a minimum of $2.5 million.
Pumps and tanks funded through this program are currently required to be operational by December 31, 2016 and continue operations for the intended purpose of dispensing higher blends of ethanol through December 30, 2021. This new program is a partnership across state government, including collaboration between the Governor’s office, Iowa Department of Agriculture and Land Stewardship, Iowa Department of Transportation, and Iowa Economic Development Authority.