USDA awards $19 million in HBIIP grants

January 11, 2024

BY Erin Voegele

The USDA on Jan. 11 awarded $19 million under the Higher Blend Infrastructure Incentive Program. The grants will support projects in 22 states to expand the availability of higher ethanol and biodiesel blends. 

Agriculture Secretary Tom Vilsack announced the HBIIP awards during his visit to the Iowa Renewable Fuels Summit in Altoona, Iowa, where he was awarded the Lifetime Champion of Renewable Fuels Award. 

“President Biden’s Inflation Reduction Act is giving people in rural areas the historic opportunity to expand clean energy and build an economy that benefits working families,” Vilsack said. “By increasing the supply of biofuels made here in the U.S., we are strengthening our energy independence, lowering costs for American families, creating new streams of income for agricultural producers and bringing good-paying jobs to people in rural communities.”

Tristar FLC Inc. was awarded a $3.5 million grant to support a project that will consist of the construction of a high efficiency transload facility for the receipt, storage and distribution of biodiesel in Fontana, California. The project is expected to increase the amount of biodiesel sold by 24 million gallons per year. 

Illinois-based Piasa Enterprises Inc. will also develop biodiesel infrastructure with its grant funding. The company’s $200,000 award will support the installation of two 30,000-gallon insulated biodiesel storage tanks and associated piping in Hartford, Illinois. The project is expected to increase the amount of biodiesel sold by 2 million gallons per year. 

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Casey’s General Store Inc. was awarded nearly $5 million to support the installation of 456 E15 dispensers at 111 fueling stations located in Iowa, Illinois, Minnesota, Nebraska and South Dakota. These projects are expected to increase the amount of ethanol sold by 49.08 million gallons per year. 

Kansas-based Capital City Oil Inc., the owner of a fleet fueling facility, was awarded $122,521 to support the retrofit of one E15 dispensers and the installation of one E85 dispenser, one B20 dispenser, two ethanol storage tanks, and two biodiesel storage tanks at one location in Topeka, Kansas. The project aims to increase the amount of biofuels used by 5.28 million gallons per year. 

Bulk Petroleum Corp. was awarded $5 million to support the installation of 73 E15 dispensers, seven E85 dispensers, 33 B20 dispensers, 31 ethanol storage tanks, and 22 biodiesel storage tanks at 24 fueling stations located in Wisconsin, Iowa, Michigan, Indiana, and Kentucky. The project aims to increase the amount of biofuels sold by more than 7.84 million gallons. 

AC&T Co. Inc. was awarded $128,000 to install two E85 dispensers and one ethanol storage tank at a fueling station in Williamsport, Maryland. The project expects to increase the amount of ethanol sold by 106,322 gallons per year. 

Finally, Love’s Travel Stops & Country Stores Inc. was awarded more than $4.94 million to support the retrofit of 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. The projects are expected to increase the amount of ethanol sold by 86.09 million gallons per year. 

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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.

*A previous version of the article incorrectly stated that Love’s Travel Stops & Country Stores was awarded $7.94 million in HBIIP funds. The article has been corrected to show the company was awarded $4.94 million in HBIIP grants. 

 

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