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USDA marks anniversary of Higher Blends Infrastructure Investment Program with funding announcement

USDA has announced another round of funding to help increase the use of biofuels. 

Through its Higher Blends Infrastructure Investment Program, USDA will award $26 million to 23 states, including Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Missouri, Nebraska, Ohio, and Wisconsin.

Deputy Undersecretary for Rural Development Justin Maxson says investments like these give consumers more environmentally friendly fuel choices and stimulate an important market for farmers.

Ron Lamberty with the American Coalition for Ethanol says HBIIP dollars are usually spent on installing E-85 pumps.

“If you’re going to put E-85 in, you have to buy dispensers that are compatible with (the) higher ethanol blend. And some things need to be changed in the insides of the pumps.”

Speaking to Brownfield during the ACE Ethanol Conference in Minneapolis Thursday, Lamberty says E-85 continues to attract fuel retailers.

“In California, Pearson Fuels is selling 40 million gallons a year, it’s just a great seller for a lot of these stations. It gives them an advantage because others don’t sell it, and it’s a good bargain.”

Thursday’s announcement marks the one-year anniversary of HBIIP.  The program has invested more than $66 million on projects expected to increase biofuels sales by 1.2 billion gallons annually.