USDA announces $450 million for Higher Blends Infrastructure Incentive Program
Eligible applicants: *. Applications are due September 30, 2024
Announcement Type: Notice of Funding Opportunity
Opportunity: Higher Blends Infrastructure Incentive Program (HBIIP) for Fiscal Years 2023 and 2024
Overview and Eligible Uses: Under Section 22003 of the Inflation Reduction Act of 2022, RBCS is offering cost-share grants to support infrastructure improvements for the sale and use of agricultural commodity-based fuels. The HBIIP program aims to increase adoption of higher blends of ethanol and biodiesel by sharing the costs of building and retrofitting biofuel-related infrastructure.
Funds are provided to assist transportation fueling and fuel distribution facilities in converting their equipment to be compatible with higher blends of ethanol and biodiesel. This includes upgrading fuel dispensers, storage tank systems, and other necessary infrastructure to ensure environmentally safe fuel availability.
Amount: A total of approximately $450 million is allocated to eligible participants, with $90 million available for each calendar quarter starting from July 1, 2023. Within each quarter's funds:
$67.5 million for transportation fueling facilities to implement higher blends of fuel ethanol and biodiesel.
Approximately $18 million for fuel distribution facilities to implement higher blends of fuel ethanol and biodiesel.
$4.5 million for home heating oil distribution facilities to implement higher blends of biodiesel.
Successful applicants receive cost-share grants, with a maximum grant amount of $5 million and no minimum amount specified. Unused funds may be reallocated to other projects.
Award Type: Grants
Eligible Applicants: Eligible facilities include fueling stations, convenience stores, hypermarket retailer fueling stations, fleet facilities (such as automotive, freight, rail, and marine), and similar entities with equivalent capital investments. It also covers fuel/biodiesel terminal operations, midstream operations, and heating oil distribution facilities or similar entities.
Key Dates: The application windows for enrollment will take place quarterly for five quarters, starting July 1, 2023, through September 30, 2024.
Key Links:
For a full list of currently available grant programs under the Infrastructure Law and other helpful tools, take a look at our Helpful Resources page.
This tracker will continue to send updates when new funding opportunities are announced.