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USDA Pledges Funding for 187 Blender Pumps in Iowa

JOHNSTON, IOWA – The Iowa Renewable Fuels Association (IRFA) today applauded U.S. Department of Agriculture’s (USDA) announcement pledging matching support to fund the installation of an estimated 187 blender pumps in Iowa, providing greater consumer access to lower-cost, cleaner-burning ethanol blends, through its Biofuels Infrastructure Program (BIP).

“We commend the USDA for providing matching funds to states like Iowa who want to increase the availability and use of American-made ethanol blends,” stated IRFA Managing Director Lucy Norton.  “Iowa motorists will greatly benefit from the cost-savings and cleaner-burning properties that come along with expanded consumer access to higher ethanol blends. Furthermore, the impact of this program goes nationwide, opening up the option of low-cost E15 to millions of motorists, and putting pressure on other retailers to follow suit.”

Iowa currently has about 200 stations offering E85, and about 90 of these have blender pumps offering E85 and mid-level ethanol blends. In addition, Iowa leads the nation with 37 registered E15 stations.

According to USDA’s announcement, “Through BIP, USDA will award competitive grants, matched by states, to expand the infrastructure for distribution of higher blends of ethanol. BIP funds from the Commodity Credit Corporation must be used to pay a portion of the costs related to the installation of fuel pumps and related infrastructure dedicated to the distribution of higher ethanol blends, for example E15 and E85, at vehicle fueling locations. The matching contributions may be used for these items or for related costs such as additional infrastructure to support pumps, marketing, education, data collection, program evaluation and administrative costs. This partnership will expand markets for farmers, support rural economic growth and the jobs that come with it, and ultimately give consumers more choices at the pump.”

Iowa is the nation’s leader in renewable fuels production. Iowa has 42 ethanol refineries capable of producing more than 3.8 billion gallons annually, including 22 million gallons of annual cellulosic ethanol production capacity and one cellulosic ethanol facility currently under construction. In addition, Iowa has 12 biodiesel facilities with the capacity to produce nearly 315 million gallons annually.

The Iowa Renewable Fuels Association was formed in 2002 to represent the state’s liquid renewable fuels industry. The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.

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For more information, visit the Iowa Renewable Fuels Association homepage at: www.IowaRFA.org