WASHINGTON -- How many blender pumps can $100 million buy?
On the same day that the U.S. Environmental Protection Agency (EPA) released its proposed, lower volume requirements for biofuel blending, the U.S. Department of Agriculture (USDA) announced it offering up to $100 million in competitive grants to match state funds for installing blender pumps.
Blender pumps allow retailers to blend ethanol and gasoline at the site, offering the ability to sell E15, a 15% ethanol blend currently available at more than 100 locations, and E85, an 85% blend at more than 2,400 locations. The USDA match aims to double the number of blender pumps out in the market today. States offering a greater than one-to-one ratio in funding will get higher consideration for grant funds.
“American-made, clean energy sources support the environment, reduce our dependence on foreign oil, create jobs and sustain the economy in rural communities across the country," said agriculture secretary Tom Vilsack. “With this partnership, USDA is helping to ensure the infrastructure is in place for consumers to access more renewable fuels, expand marketing opportunities for farmers, and grow America's rural economies.”
Bob Dineen, president and CEO of the Renewable Fuels Association (RFA), an ethanol industry group, praised the USDA’s investment, while contrasting it with the proposed cuts the EPA would make in ethanol blending volumes versus what was originally specified in the Renewable Fuels Standard (RFS).
“The [USDA] announcement today of a significant investment in blender pumps stands in stark contrast to the [EPA's] earlier decision that thwarts private-sector investment in infrastructure,” said Dineen. “Clearly, Secretary Vilsack and USDA understand what is necessary to move this country’s renewable energy industry forward. Consumers across this country are applauding USDA today for its efforts to encourage a choice of high-octane, low-cost, domestically produced fuel at the pump. EPA should pay close heed.”
Click here to view the USDA fact sheet.
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