Advanced Biofuel Feedstock Incentives

The Biomass Crop Assistance Program (BCAP; Section 9010) provides financial assistance to landowners and operators that establish, produce, and deliver biomass feedstock crops for advanced biofuel production facilities. Qualified feedstock producers are eligible for a reimbursement of 50% of the cost of establishing a biomass feedstock crop, as well as annual payments for up to five years for herbaceous feedstocks and up to 15 years for woody feedstocks. In addition, BCAP provides qualified biomass feedstock crop producers matching payments for the collection, harvest, storage, and transportation of their crops to advanced biofuel production facilities for up to two years. The matching payments are $1 for each $1 per dry ton paid by a qualified advanced biofuel production facility, up to $20 per dry ton. This program is funded through fiscal year 2018 (verified December 2016), but is subject to congressional appropriations thereafter.

The U.S. Department of Agriculture must submit a progress report to Congress on or before February 7, 2018, communicating best practices and other relevant information gathered from BCAP participants.

For more information, see the Biomass Crop Assistance Program website. (Reference Public Law 113-79 and 7 U.S. Code 8111)

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