USDA Invests $1 Million in Biofuel Infrastructure to Expand Availability of Higher-Blend Renewable Fuels in Iowa

DES MOINES, Iowa, Aug. 20, 2021 -- Iowa Acting State Director for Rural Development Darin Leach today announced that the U.S. Department of Agriculture (USDA) is investing $1,123,000  to build infrastructure to expand the availability of higher-blend renewable biofuels by 1.1 million gallons annually at 43 new dispensers in Iowa.

USDA is making the awards under the Higher Blends Infrastructure Incentive Program. The funding will help significantly increase the use of biofuels derived from U.S. agricultural products and prioritize climate-smart solutions that will help rural America build back better.

“Biofuels contribute to energy security, reduce air pollution, and support rural economic development as an important market for U.S. feedstock producers,” Leach said. “Increasing opportunities for climate-smart decisions can help to decrease the human footprint as a whole, which is the ultimate goal of today’s investments.”

Projects include:

• Sarwar Corporation will use a $191,000 grant to replace four E15 dispensers, four biodiesel dispensers, an underground storage tank for ethanol and an underground storage tank for biodiesel at a station in Cedar Falls, Iowa. This project is expected to increase the amount of ethanol sold by 163,805 gallons per year.
• BSE Inc. will use a $348,000 grant to replace seven E15 dispensers, seven biodiesel dispensers, two ethanol underground storage tanks and two biodiesel storage tanks at two fueling stations in Waterloo and Cedar Falls, Iowa. This project is expected to increase the amount of ethanol sold by 226,720 gallons per year.
• Ravion Inc. will use a $191,000 grant to replace four E15 dispensers, four biodiesel dispensers, an ethanol underground storage tank and a biodiesel tank at a fueling station in Waterloo, Iowa. This project is expected to increase the amount of ethanol sold by 97,720 gallons per year.
• United Petroleum Inc. will use a $191,000 grant to replace four E15 dispensers, four biodiesel dispensers, an ethanol underground storage tank and a biodiesel underground storage tank at a fueling station in Marion, Iowa. This project is expected to increase the amount of ethanol sold by 306,493 gallons per year.
• Convenience Stores Business Inc. will use a $45,000 grant to replace three dispensers at a fueling station in Waterloo, Iowa. This project is expected to increase the amount of ethanol sold by 130,000 gallons per year.
• Wasandi LLC will use a $157,000 grant to replace six dispensers and two storage tanks at a fueling station Traer, Iowa. This project is expected to increase the amount of ethanol sold by 222,455 gallons per year.

Today’s awards are in coordination with Deputy Under Secretary for Rural Development Justin Maxson’s nationwide announcement that USDA is investing $26 million to expand availability of higher-blend renewable biofuels by 822 million gallons annually in 23 states, including: California, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Ohio, Oklahoma, Rhode Island, Texas and Wisconsin.

Background:

This month marks the one-year anniversary of the Higher Blends Infrastructure Incentive Program. To date, USDA has invested $66.4 million for projects that are expected to increase biofuels sales by 1.2 billion gallons annually.

Through this program, USDA helps transportation fueling and biodiesel distribution facilities offer higher ethanol and biodiesel blends to customers by sharing the costs to install fuel pumps, equipment and infrastructure. For more information on the program, visit www.rd.usda.gov/hbiip.

Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, Tribal and high-poverty areas. For more information, visit www.rd.usda.gov/ia.

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