USDA Says 21 States to Split $100M in Grants to Add Higher-Ethanol Fuel Pumps

AASHTO Journal, 11 September 2015

The U.S. Department of Agriculture is splitting $100 million in grants among 21 states to add fuel pumps to carry higher blends of ethanol with gasoline than the 10 percent blends now carried in most pumps.

USDA Secretary Tom Vilsack made the announcement Sept. 10 in Champaign, lll., saying the department’s Biofuel Infrastructure Partnership will provide funds at more than a one-to-one match from state or private resources to add about 4,880 pumps at more than 1,400 fueling stations.

Vilsack said the applications received for the program requested over $130 million, outpacing the available funds. The USDA estimates this grant program will more than double the number of stations nationwide that offer higher blends of ethanol – mainly E15 fuel levels.

“The quality and geographic diversity of the applications, backed by supportive state and private partners, demonstrate the strong demand across the country for cleaner, more affordable fuel,” Vilsack said.

BIP funds from the Commodity Credit Corporation must be used to pay a portion of the costs to install fuel pumps and related infrastructure for higher ethanol blends including E15 and E85. Matching contributions may be used for these purposes or for related costs such as additional infrastructure to support pumps, marketing, education, data collection, program evaluation and administrative costs.

The USDA issued a “preliminary list” of state finalists for the grant pool and estimated pump numbers. It said the funding amounts for each state will be announced later.

That list has Florida leading with 892 planned pumps, followed by Texas at 763 and Minnesota with 620. The list covers a wide range of the country, as Pennsylvania plans to use grants to add 308 pumps while Colorado would add 28 – the lowest number listed. Illinois, where Vilsack announced the grants, plans to add 428 pumps. Virginia and Maryland are listed together as a grant finalist for 191 pumps.

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