USDA provides $180 million to fund 586 REAP, HBIIP projects

USDA announced Jan. 10 the funding of 586 projects to expand access to clean-energy systems and increase the availability of domestic biofuels.

USDA is providing nearly $180 million through the Rural Energy for America Program and the Higher Blends Infrastructure Incentive Program with funding from the Inflation Reduction Act.

Of this, $120 million is going to recipients under REAP while $60 million is funding HBIIP projects.

The projects, according to USDA, will create new market opportunities and jobs for American small businesses, farmers, ranchers, forest landowners and agricultural producers in 42 states, Guam, Puerto Rico and the U.S. Virgin Islands.

To date, USDA has invested more than $1.3 billion from the Inflation Reduction Act for more than 8,000 clean-energy projects through REAP, and more than $287 million in 345 projects through HBIIP that increase the availability of domestic biofuels across the country.

Since 2021, USDA has invested more than $3 billion for 11,221 projects through REAP and more than $323 million in 399 awards through HBIIP.

The $60 million through HBIIP will expand access to domestic biofuels in 24 states and strengthen America’s energy independence, USDA stated.

This program provides grants to fueling station and distribution facility owners—including marine, rail and heating-oil facilities—to expand access to domestic biofuels, a clean and affordable source of energy.

These investments help business owners install and upgrade infrastructure such as fuel pumps, dispensers and storage tanks.

For example:

• In California, EZ Petroleum will use a $1.3 million grant to install 30 E85 dispensers and seven ethanol storage tanks at seven fueling stations in Winton, Fremont, South San Francisco, Salinas, Richmond and Fresno. This project is expected to increase the amount of ethanol sold by more than 391,000 gallons per year.

• In Florida, Mas Fuel Distributors will use a nearly $2 million grant to install 14 E15 dispensers, 24 E85 dispensers, and eight ethanol storage tanks at three fueling stations in Hollywood, Miami and Homestead. This project is expected to increase the amount of ethanol sold by nearly 2 million gallons per year.

• In Iowa, Morning Star Station LLC will use a $398,000 grant to install two E15 dispensers, one B20 dispenser, one ethanol storage tank and one biodiesel storage tank at a fueling station in Worthington. This project is expected to increase the amount of biofuel sold by more than 116,000 gallons per year.

For project and award specifics, click here.