USDA Secretary Rolls Out Robust Higher Blends Biofuels Infrastructure Program at Commodity Classic
February 28, 2020
Contact: Cassidy Walter
JOHNSTON, IOWA – Today while speaking at the 2020 Commodity Classic, USDA Secretary Sonny Perdue announced the USDA will provide $100 million in competitive, cost-share grants for the new Higher Blends Infrastructure Incentive Program (HBIIP) to help increase the number of fuel stations and terminals across the country offering higher blends of biofuels.
USDA is expected to publish application deadlines and program details this spring.
“We are excited to see Secretary Perdue and USDA move expeditiously to implement a key part of President Trump’s plan to repair the damage caused by RFS refinery exemptions that was announced last October,” said Iowa Renewable Fuels Association Executive Director Monte Shaw. “This program is going to assist substantially in helping fuel stations and terminals across the country add the necessary infrastructure of offer higher blends of ethanol and biodiesel. We look forward to working alongside the administration to ensure the successful implementation of the program.”
The drastic increase in the number of refinery exemptions from the renewable fuels standard (RFS) granted by EPA over the last three years destroyed roughly four billion gallons of biofuels demand and caused a major uproar in farm country. On October 4, 2019, EPA announced a number of steps the Trump Administration would take to repair the damage, including an infrastructure program by USDA. The EPA announcement can be found here: https://www.epa.gov/newsreleases/president-trump-delivers-key-promise-american-farmers-epa-usda-announce-agreement
“As we work with the USDA on infrastructure, we stand ready to work with EPA to begin building on the President’s earlier decision to allow year-round sales of E15 by initiating a rulemaking process to streamline labeling and remove other barriers to the sale of E15,” stated Shaw. “This action should move in concert with the infrastructure program to maximize the positive impact of President Trump’s commitments.”
The Iowa Renewable Fuels Association represents the state’s liquid renewable fuels industry and works to foster its growth. Iowa is the nation’s leader in renewable fuels production with 43 ethanol refineries capable of producing over 4.5 billion gallons annually – including 34 million gallons of annual cellulosic ethanol production capacity – and 11 biodiesel facilities with the capacity to produce nearly 400 million gallons annually. For more information, visit the Iowa Renewable Fuels Association website at: www.IowaRFA.org.