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Michigan biofuel projects receive USDA grants

Funds awarded to support the production of advanced biofuels and to advance the bioeconomy.

December 16, 2014

1 Min Read

Four biofuel projects in Michigan are claiming a portion of the $5.6 million in USDA grants recently announced by Agriculture Secretary Tom Vilsack . In total, 220 producers across the nation are receiving funds to support the production of advanced biofuels, and another $4 million  in additional grants is being awarded to advance the bioeconomy and reduce the nation's dependence on foreign oil.

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"Producing advanced biofuel is a major component of the drive to take control of America's energy future by developing domestic, renewable energy sources," Vilsack says. "These resources represent the Obama Administration's commitment to support an 'all-of-the-above' energy strategy that seeks to build a robust bio-based economy. Investments in biofuels will also help create jobs and further diversify the economy in our rural communities."

The recipients in Michigan include: Brook View Dairy, LLC $521 and Fremont Community Digester $895, both for anaerobic digesters and Kirtland Products, $761 and Michigan Wood Fuels $1,913 for pellets.

The funding for producers is being provided through USDA's Advanced Biofuel Payment Program, which was established in the 2008 Farm Bill. Under this program, payments are made to eligible producers based on the amount of advanced biofuel produced from renewable biomass, other than corn kernel starch. Examples of eligible feedstocks include but are not limited to: crop residue; animal, food and yard waste; vegetable oil; and animal fat.

USDA has made more than $280 million in payments to more than 350 producers (more than 3,100 total payments) in 47 states and territories since the program's inception. These payments have supported the production of more than 5.8 billion gallons of advanced biofuel and the equivalent of more than 58 billion kilowatt hours of electric energy.

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