USDA seeks applications for Advanced Biofuel Payment Program

By Erin Voegele | September 24, 2020

The USDA announced on Sept. 23 it is making $7 million available under the Advanced Biofuel Payment Program. The agency will accept applications from advanced biofuel producers during the month of October.

The Advanced Biofuel Payment Program provides quarterly payments to producers of advanced biofuels based on actual production volumes. The amount of the payment depends on the number of producers, the amount of advanced biofuel produced and the amount of funds available during the fiscal year. There is no minimum or maximum payment established for the program.

Any entity that produces and sells advanced biofuel is eligible to apply. Eligible advanced biofuels must be derived from renewable biomass other than corn kernel starch and can be in the form of a liquid, gas or solid. The fuel, however, must be a final product that is produced in the U.S.

The enrollment period for producers to sign up to participate in the program for fiscal year 2021 is Oct. 1 through Oct. 31. According to the USDA, producers who participated in the program in fiscal year 2020 and new producers must enroll to receive payments.

Additional information is available on the USDA website.

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