$800 Million Available to Provide Economic Relief to Biofuel Producers


The Department of Agriculture this week announced its relief program for biofuel producers, in conjunction with the Environmental Protection Agency’s volume announcement. USDA says up to $800 million will support biofuel producers and infrastructure, a long-awaited announcement authorized by the CARES Act. The funding includes $700 million to provide economic relief to biofuel producers and restore renewable fuel markets affected by the pandemic and $100 million for expanding infrastructure for renewable fuels. Agriculture Secretary Tom Vilsack says the program will “pave the way to economic recovery for America’s biofuel producers,” along with stimulating a critical market for U.S. farmers. Through the Biofuel Producer Program, USDA will make direct payments for biofuel producers who faced unexpected market losses due to the pandemic. USDA will announce the official application window for this program within the coming week. The infrastructure program funds grants for biofuels infrastructure, such as blender pumps which ensure biofuels have greater availability in the retail market.