Federal biodiesel grants for terminals and fuel distributors

From the National Biodiesel Board

The U.S. Department of Agriculture announced availability of $100 million in cost-sharing grants for the newly created Higher Blends Infrastructure Program (HBIIP), with $14 million reserved to support greater biodiesel and renewable diesel blending. The grants of up to 50% of eligible costs or $5 million (whichever is less) are designed to help distribution facilities install or retrofit infrastructure necessary to sell higher biodiesel blends such as B20. The Commodity Credit Corporation (CCC) and the Rural Business-Cooperative Service (RBCS) will establish an electronic application system at http://www.rd.usda.gov/HBIIP. The agencies will finalize application submission deadlines by future notice in the Federal Register and via Grants.gov, once the electronic system is available.

Grants are available to vehicle fueling facilities, fleet facilities, and fuel terminal operations, midstream partners, and/or distribution facilities. USDA aims to make approximately 150 awards and provide cost-sharing to 1,500 locations. However, the number of awards will depend on the number of eligible participants and the total amount of requested funds. HBIIP funds may only be used to support the sales and use of higher blends — including biodiesel blends greater than 5%. State programs for higher blends infrastructure may be counted as part of the matching contribution requirement. Applicants may submit only one application but may request cost-sharing for multiple facilities/locations. USDA has established a Targeted Assistance goal of using approximately 40% of funds for applicants owning fewer than 10 locations.