U.S. House Committee Proposes $1 Billion To Support Higher Biofuel Blends Infrastructure
The U.S. House Agriculture Committee proposed a $1 billion USDA program to push E10 and B20 plus blends into the motor and heating fuels market which Congressional Democrats hope to include in a $3.5 trillion budget reconciliation package.
It is double the amount lawmakers proposed earlier this year.
The USDA program is expected to offer cost-sharing grants to marketers to upgrade existing UST system infrastructure and pumps to sell higher biofuel blends as well as to build and retrofit traditional and pipeline biodiesel terminal operations and home heating oil distribution centers.
Rep. Axne (D-IA) is leading the efforts in the House and Senator Klobuchar is leading efforts in the Senate.
Unfortunately, the budget reconciliation package will likely include tax increases on businesses which will impact energy marketers’ ability to expand biofuel infrastructure.