DETROIT -- NextEnergy, Michigan's alternative energy accelerator, has been awarded a Biofuels Infrastructure Incentive Grant, enabling it to offer incentives to Michigan gas station retailers to install or convert fueling equipment to ethanol (E85) and/or biodiesel (B20).
The $150,000 incentive grant was awarded by the Michigan Department of Labor & Economic Growth (DLEG). This is the second round of grant funding awarded to NextEnergy, the first being a $50,000 incentive grant, which NextEnergy is in the process of granting to six stations.
Increasing the availability of alternative fuels and defraying the cost of distribution with this type of grant money is an essential step in reducing our dependence on fossil fuels, said Dan Radomski, market development director for NextEnergy.
The cash incentives range up to $3,000 per station for converting equipment to E85 or B20, up to $4,000 for installing new equipment to dispense B20 or $12,000 for E85. Projects must be completed and providing biofuel to the public by Aug. 31, 2007, and station owners must agree to provide the E85 or B20 for at least three years after receiving the incentive.
Funding for the Biofuels Infrastructure Incentive Grant was made available through a grant from the State Energy Office, a division of DLEG.
NextEnergy is managing the implementation of the program in coordination with the Clean Energy Coalition, an Ann Arbor, Mich.-based nonprofit which was also awarded funding through the state program. Other program partners include the Michigan Corn Marketing Program, Michigan Soybean Promotion Committee, National Ethanol Vehicle Coalition, and National Biodiesel Board.
Applications for grant funding must be received by December 15. Eligibility requirements and program details can be found at www.nextenergy.org.
NextEnergy is a nonprofit corporation founded to enable the commercialization of energy technologies that positively contribute to economic competitiveness, energy security and the environment.
Separately, the SmartWay Grow & Go program just launched by the U.S. Environmental Protection Agency (EPA) is focused on promoting the environmental benefits of renewable fuels.
Expanding the SmartWay Transport Partnership, SmartWay Grow & Go companies are encouraged to make commitments toward improving the environment through the use of renewable fuels. Through SmartWay Grow & Go, President Bush is moving the fuels of the future into the market today, said EPA Administrator Stephen L. Johnson. By investing in technology that unlocks the energy from our domestic crops, EPA and our partners are bringing breakthroughs in renewable fuel from the labs to the streets.
The goal of the SmartWay Grow & Go program is to have 25% of EPA's SmartWay Transport partners using renewable fuels by 2012, and 50% by 2020. There are currently 481 SmartWay Transport partners including major truck and rail carriers as well as shipping and logistics companies.
SmartWay partners are already taking action, the EPA said. For example, H-E-B and Meijer are expanding the sale of renewable fuels at their retail pumps, while Coca-Cola Enterprises' light and heavy-duty fleets are expanding their use of ethanol and biodiesel as these fuels become more widely available.
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