The US Department of Agriculture (USDA) is investing $26 million to build infrastructure to expand the availability of higher-blend renewable biofuels by 822 million gallons annually in 23 states.

USDA is making the awards under the Higher Blends Infrastructure Incentive Program. The funding will help increase the use of biofuels derived from US agricultural products.

The announcement includes investments in 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.

Examples of projects include:

• In California, AltAir Paramount LLC will use a $1.5-million grant to install a pump, safety infrastructure and piping at its fuel distribution facility. Funds will also be used to retrofit and upgrade a biodiesel storage tank. This project is expected to increase biodiesel sales by 135 million gallons per year.

• In Ohio, United Dairy Farmers Inc. will use a $634,000 grant to replace 21 dispensers and four storage tanks at four fueling stations. The company also will install 13 dispensers at two more fueling stations in Ohio and Kentucky. This project is expected to increase ethanol sales by 4 million gallons per year.

• In North Carolina, Zenith Energy Terminals Holdings LLC will use a $614,930 grant to install a truck rack biodiesel blending system at a fuel distribution facility. This project is expected to increase biodiesel sales by 24 million gallons per year.

Background. The announcement marked 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.