USDA Rural Development Announces Awards for Domestic Biofuels in Kansas

 

$5 Million Will Provide Fuel Station Improvements in Topeka, Ottawa and Ellis

 

TOPEKA, Jan. 11, 2024 – U.S. Department of Agriculture (USDA) Rural Development State Director Christy Davis announced today that $5 million in grants will increase the availability of domestic biofuels in Kansas and give travelers cleaner, more affordable fuel options at gas pumps.

“These grants will help people in rural areas access clean energy,” Davis said. “By increasing the supply of biofuels made here in Kansas and the U.S., we are strengthening our energy independence and lowering costs for Kansans in rural communities.”

The Department is making the awards through the Higher Blends Infrastructure Incentive Program (HBIIP). Blending ethanol into gasoline has helped reduce fuel costs by approximately 25 percent. HBIIP expands the use of ethanol-based fuels at gas stations around the nation.

This announcement is part of a larger national announcement that includes projects in 21 other states. The details of the Kansas projects are:

  • A $122,521 grant will help create infrastructure to expand the sales and use of renewable fuels through Capital City Oil Inc. This project will install one E15 dispenser, one E85 dispenser, one B20 dispenser, two ethanol storage tanks and two biodiesel storage tanks at one fueling location, located in Topeka. This project aims to increase the amount of biofuels used by 5,280,000 gallons per year.
  • A portion of a $4,943,820 grant will help create infrastructure to expand the sales and use of renewable fuels at two Kansas locations of Love’s Travel Stops & Country Stores, Inc. This project will retrofit 704 E15 dispensers at 88 fueling stations located in Arizona, Florida, Georgia, Iowa, Illinois, Indiana, Kansas, Kentucky, Missouri, North Carolina, Nebraska, New Mexico, Nevada, Ohio, South Dakota, Texas, and Wisconsin. Station locations impacted by this grant are: AZ – Eloy, Chandler, Gila Bend, Williams, Benson, Joseph, City; FL – Lee, Ocala, Ormond Beach; GA – Waco, Thomson, Brunswick, Richmond Hill, Jackson, Dublin, Tifton, Emerson, Hogansville; IA – Sioux City; IL – Williamsville, Ina, Kankakee, Dwight, Le Roy, Roscoe, Greensvile, Utica; IN – Mooresville, Richmond, Whiteland, Memphis, Gary, Whitestown, Haubstadt, Demotte, Marion, Pittsboro, St. Paul; KS – Ottawa, Ellis; KY – Waddy, Sparta, Horse Cave, Corbin, Richmond, Grayson, Calvert City; MO – St. Joseph, Matthews, Rolla; NC – Dunn, Marion; NE – Aurora; NM – Albuquerque; NV – Fernley, Wells, Las Vegas; OH – Zanesville, Hubbard, Jeffersonville, Perrysburg, Burbank, Baltimore, Dayton; SD – Sioux Falls; TX – Van, Midlothian, Hillsboro, Katy,  Luling, Rockwall, Anna, Edna, Three Rivers, Texarkana, Weimar, Hutchins, Seguin, Fairfield, Von Ormy, Weatherford, Mount Vernon, Lufkin, Cleveland, Houston, Fort Worth, Rhome; and WI – Tomah. This project is expected to increase the amount of ethanol sold by 86,085,412 gallons per year.

Background: Higher Blends Infrastructure Incentive Program

The Higher Blends Infrastructure Incentive Program (HBIIP) provides grants to fueling station and distribution facility owners, including marine, rail, and home heating oil facilities, to help 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. Expanding the availability of homegrown biofuels strengthens energy independence, creates new revenue for American businesses and brings good-paying jobs to rural communities.

In June 2023, USDA made $450 million available in Inflation Reduction Act funding through the HBIIP to expand the use and availability of higher-blend biofuels. That same month, USDA also announced the first round of Inflation Reduction Act-funded HBIIP awardees.

USDA continues to accept applications for funding to expand access to domestic biofuels. These grants will support the infrastructure needed to reduce out-of-pocket costs for transportation fueling and distribution facilities to install and upgrade biofuel-related infrastructure such as pumps, dispensers and storage tanks. There are three quarterly application windows left, and the program ends Sept. 30, 2024. The next application deadline is March 31, 2024.

For more information, go to the HBIIP webpage.

USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate-smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit www.usda.gov.

To subscribe to USDA Rural Development updates, visit the GovDelivery subscriber page.

USDA is an equal opportunity provider, employer and lender.

 

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