Pellet producers earn payments under USDA program
In May the USDA announced $14 million in payments to 162 advanced biofuel producers in 38 states under the Bioenergy Program for Advanced Biofuels. Two dozen pellet producers received awards of more than $500 during the most recent round of funding.
The program awards payments to eligible producers based on the amount of advanced biofuel produced from renewable sources of biomass, other than corn starch. While liquid biofuels currently account for a significant portion of the awards, other advanced biofuels, including wood pellets and biogas, are also eligible for the program.
Since the program’s inception, more than 280 producers of all types of biofuels have received a total of $192.5 million in payments. “These payments represent the Obama administration’s commitment to support an ‘all of the above’ energy strategy,” said Acting Under Secretary for Rural Development Doug O’Brien. “Producing advanced biofuels is a major component of the drive to take control of America’s energy future by developing domestic, renewable energy sources.”