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USDA Invests $26 Million in Biofuel Infrastructure to Expand Availability of Higher-Blend Renewable Fuels in 23 States

Release Date

Acting State Director Molly Hammond today announced that the U.S. Department of Agriculture (USDA) is investing $1.4 million to build infrastructure to expand the availability of higher-blend renewable biofuels in Illinois which is part of a 23 state $26 million national-level investment.

USDA is making the awards under the Higher Blends Infrastructure Incentive Program. The funding will help significantly increase the use of biofuels derived from U.S. agricultural products and prioritize climate-smart solutions that will help rural America build back better.

“In addition to higher blend ethanol, Biodiesel will offer similar benefits, including increased fleet usage, more fuel storage options, and more fuel outlets across the country.” Hammond said. Biofuels contribute to energy security, environmental sustainability, support rural economic development, and are a significant environmentally friendly market for U.S. feedstock producers.”

Today’s announcement includes investments in California, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Ohio, Oklahoma, Rhode Island, Texas and Wisconsin.

Examples of Illinois projects include:

  • Power Energy Corp. will use a $1.3 million grant to create infrastructure to expand the sales and use of renewable fuels.  Power Energy Corp will replace 38 dispensers and four storage tanks at four fueling stations in Illinois. It also will install 116 dispensers at six fueling stations. The stations are in Elmhurst, Arlington Heights, Willow Springs, Palos Heights, Summit, McCook, Indian Head Park, Spring Grove, Harvey, and Chicago. This project is expected to increase the amount of ethanol sold by 11,560,686 gallons per year.
  • J & H Real Estate Holdings LLC will use a $149,802 grant to create infrastructure to expand the sales and use of renewable fuels. J&H Real Estate Holdings LLC will install 10 biodiesel dispensers at a fueling station in Riverton, Illinois. This project is expected to increase the amount of biodiesel sold by 6,007 gallons per year.

Background:

Today’s announcement marks the one-year anniversary of the Higher Blends Infrastructure Incentive Program. To date, USDA has invested $66.4 million for projects that are expected to increase biofuels sales by 1.2 billion gallons annually.

Through this program, USDA helps transportation fueling and biodiesel distribution facilities offer higher ethanol and biodiesel blends to customers by sharing the costs to install fuel pumps, equipment and infrastructure. For more information on the program, visit www.rd.usda.gov/hbiip.

Under the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans 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, Tribal and high-poverty areas. For more information, visit www.rd.usda.gov. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.

USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit www.usda.gov.

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