Missouri Soybean Farmers Benefit from Announced Biofuel Infrastructure Incentive Program
Missouri Agricultural & Small Business Development Authority supports biodiesel, soybean growers.
The Missouri Agricultural and Small Business Development Authority (MASBDA) announced the Biofuel Infrastructure Incentive Program (BIIP) to increase the distribution and use of biofuels in the state of Missouri. Funds will be awarded to fuel retailers, fuel distributors, terminal companies or fleet operations that dispense, or will soon store or dispense, biodiesel blends of B6 or higher.
Applications are due Oct. 29, 2021, and projects receiving funds will be notified no later than Nov. 30, 2021.
The MASBDA Board of Directors has approved up to $2 million for the Biofuel Infrastructure Incentive Program, with half appropriated to biodiesel projects and half appropriated to ethanol projects. Applicants must be a business entity that is constructing new, retrofitting or improving existing infrastructure or equipment that handles biodiesel fuel, biodiesel blend fuel or ethanol blended gasoline at a facility in Missouri. The project may include multiple locations within the state. The maximum award per category (ethanol or biodiesel) to any single entity is 50 percent of eligible costs, or $250,000, whichever is less.
“An investment in expanding Missouri’s biofuel infrastructure is an investment in Missouri agriculture,” said MASBDA Executive Director Jill Wood. “Biofuel production increases the demand for two of Missouri’s top commodities, corn and soybeans, and also benefits livestock producers in the form of soybean meal and dried distiller grains.”
Funds may be used for, but are not limited to, costs associated with the construction, installation, upgrade or retrofit of:
- Fuel dispensers/pumps
- Related/attached equipment
- Underground or above-ground storage tanks
- Tank system components
- Other infrastructure located in Missouri with the sole purpose to ensure the environmentally safe availability of blends of ethanol or biodiesel
“Biodiesel is a Missouri-made, renewable fuel that supports Missouri soybean farmers and provides more options for fuel suppliers and fleets,” said Missouri Soybean Merchandising Council Chairman Kyle Durham of Norborne. “This program is an important step in our efforts to build new demand and access for biodiesel and growth for our economy here in the state.”
Within each fuel category, up to 75 percent of the funds will be awarded to Tier 1 projects. Up to 25 percent of funds will be awarded to Tier 2 projects.
- Tier 1 – Any terminal company, fuel distributor or fuel retailer with more than five locations.
- Tier 2 – Any fuel retailer with five or fewer station, fleet operations or individual businesses.
Earlier this year, MASBDA awarded nearly $700,000 in funds that will improve and expand infrastructure of the biofuel industry in Missouri by more than 14 million gallons.
The Missouri Soybean Merchandising Council is a statewide, farmer-led organization working to improve opportunities for Missouri soybean farmers though a combination of research, outreach, education and market development efforts supported by the soy checkoff. Learn more online by exploring mosoy.org.