U.S. Secretary of Agriculture Sonny Perdue announced Thursday (Oct. 8, 2020) that the U.S. Department of Agriculture (USDA) has invested $22 million out of the up to $100 million in grants available to increase American ethanol and biodiesel sales. These funds were made available through the Higher Blends Infrastructure Incentive Program (HBIIP) to recipients in 14 states. The initial $22 million in HBIIP investments are projected to increase ethanol demand by nearly 150 million gallons annually.
“Investments made through the Higher Blends Infrastructure Incentive Program are helping rural communities build stronger economies and will give consumers more choices when they fill up at the pump,” Secretary Perdue said. “President Trump has expanded ethanol use by unleashing year-round E15, and the result is more demand for American farmers and more affordable fuel for American consumers.”
USDA is funding projects in California, Florida, Iowa, Illinois, Indiana, Kansas, Kentucky, Minnesota, Missouri, Nebraska, New York, Ohio, Utah and Wisconsin.
USDA plans on announcing the remaining HBIIP investments in the coming weeks.
The Higher Blends Infrastructure Incentive Program helps transportation fueling and biodiesel distribution facilities convert to higher ethanol and biodiesel blends by sharing the costs related to the installation of fuel pumps, related equipment and infrastructure.
Eligible applicants are vehicle fueling facilities, including, but not limited to, local fueling stations/locations, convenience stores, hypermarket fueling stations, fleet facilities, fuel terminal operations, midstream partners and/or distribution facilities. Higher biofuel blends are fuels containing ethanol greater than 10 percent by volume and/or fuels containing biodiesel blends greater than five percent by volume.
For more information on USDA’s HBIIP Program, visit the Higher Blends Infrastructure Incentive Program web page.
USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural areas. For more information, visit www.rd.usda.gov.
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