USDA Begins Accepting Applications for $100 Million in Biofuel Infrastructure Grants

“USDA Begins Accepting Applications for $100 Million in Biofuel Infrastructure Grants.” USDA, 23 Aug. 2022, https://www.usda.gov/media/press-releases/2022/08/23/usda-begins-accepting-applications-100-million-biofuel

 

The United States Department of Agriculture (USDA) is accepting applications for $100 million in grants to increase the use of biofuels derived from U.S. agricultural products. The funding is being made available through the Higher Blends Infrastructure Incentive Program (HBIIP), which aims to market higher blends of ethanol and biodiesel by sharing the costs to build and retrofit biofuel-related infrastructure such as pumps, dispensers and storage tanks. There was also an investment of $5.6 million through HBIIP that is expected to increase the availability of biofuels by 59.5 million gallons per year in several states, and a June investment of $700 million in relief funding for biofuel producers. These investments work with the goals of President Biden’s Inflation Reduction Act, which includes the largest ever federal investment in clean energy for the future.

 

It seems like great news for the future of biofuel and reduction of greenhouse gas emissions to hear about these plans for funding. It is a very promising step forward to allow funding of grants up to $100 million in order to increase the use of biofuels from US agricultural products. The next big step is getting that funding, which might not be such a large issue since there are many investments like the ones mentioned in the article already taking shape. Since these biofuels derive from US agricultural products however, I do wonder exactly which US agricultural products will be used, as well as if that will interfere with the agricultural industry.

4 thoughts on “USDA Begins Accepting Applications for $100 Million in Biofuel Infrastructure Grants

  1. Although I agree with you that this will reduce greenhouse gas emissions in some ways, I feel like a massive increase in the production of ethanol and biodiesel will mean industrial agriculture of the crops needed for those fuels. Industrial agriculture is harmful to the environment and emits greenhouse gases. Are there any conditions to the loans that require the fuel to be produced organically?

    • Thanks for your question. While the production of biofuels can mean industrial agriculture of the crops needed for those fuels, there are still methods that don’t put a strain on the environment. One example is biomass and food waste. These can produce biofuel without the use of industrial agriculture of crops.

  2. I believe that an increase in biofuel usage will be a great reduction in GHG emissions but it depends on the implementation. The main benefit of biofuel is that it can be created using waste oil which could radically reduce our waste while decreasing GHG. However there are farms specifically for the purpose of creating biofuel, and the amount of GHG emissions does not decrease as much as it could. This method of producing biofuels often leads to monocultures and a variety of other environmental issues. Is to beneficial to keep increasing the amount of biofuel created considering the environmental issues surrounding it?

    • Excellent question. I believe that there needs to be a middle ground since the production of biofuels can be a double-edged sword like you mentioned. I think that we should always prioritize sustainable production methods and feedstocks. And with the issue of food insecurity, this means using non-food-based feedstocks that don’t compete with food production.

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