USDA gives grants to build 5,000 ethanol pumps

The US Department of Agriculture (USDA) is releasing USD 100 million worth of matching funds to 21 states to expand the number of blender pumps that will dispense cleaner fuel.

Through Biofuel Infrastructure Partnership (BIP), funds will be awarded to the state to pay for the cost of installing pumps that will distribute higher ethanol blends such as E15 and E85 at gas stations, according to a USDA news release.

The state, in turn, may provide additional infrastructure or spend on marketing, education, data collection, program evaluation, and administrative costs related to ethanol distribution.

Around 5,000 pumps at over 1,400 refilling stations across the United States are expected to be in place providing more access to higher blends of ethanol.

Agriculture Secretary Tom Vilsack said that BIP is one approach to promote investments in renewable energy and create new markets for American farmers and ranchers.

“(It also aims to) help Americans save money on their energy bills, support America's clean energy economy, cut carbon pollution, and reduce dependence on foreign oil and costly fossil fuels.”

The 21 states to receive the grants are Colorado, Florida, Illinois, Indiana, Iowa, Kansas, Louisiana, Michigan, Minnesota, Missouri, Nebraska, North Carolina, North Dakota, Ohio, Pennsylvania, South Dakota, Texas, Virginia, Maryland, West Virginia, and Wisconsin.