USDA Repowering Assistance Program

The Repowering Assistance Program provides payments to eligible biorefineries to replace fossil fuels used to produce heat or power to operate the biorefineries with renewable biomass. It provides reimbursement payments to help offset the costs associated with converting existing fossil fuel systems to renewable biomass fuel systems.

The program encourages the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in the operation of eligible biorefineries.

The amount of assistance is determined by the availability of funds, the project scope, and the ability of the proposed project to meet all the scoring criteria.  In particular, the percentage reduction in fossil fuel used by the biorefinery, the quantity of fossil fuels replaced by a renewable biomass system, and the cost effectiveness of the renewable biomass system.

Payments are made for eligible post-application costs incurred during the construction phase of the repowering project.

To be eligible for the Advanced Biofuel Producer Program, an applicant must produce and sell an advanced biofuel. Conditions need to be met for the producer and for the biofuel.

What is an Advanced Biofuel Producer?

An Advanced Biofuel Producer is an individual, corporation, company, foundation, association, labor organization, firm, partnership, society, joint stock company, group of organizations, or non-profit entity that produces and sells an advanced biofuel.

What is an Advanced Biofuel?

Advanced biofuel is a fuel derived from renewable biomass, other than corn kernel starch, including:

Biofuel derived from cellulose, hemicellulose, or lignin

Biofuel derived from sugar and starch (other than corn kernel starch derived Ethanol)

Biofuel derived from waste material, including crop residue, other vegetative waste material, animal waste, food waste, and yard waste

Diesel-equivalent fuel derived from renewable biomass, including vegetable oil and animal fat

Biogas (including landfill gas and sewage waste treatment gas) produced through the conversion of organic matter from renewable biomass

Butanol or other alcohols produced through the conversion of organic matter from renewable biomass

Other fuel derived from cellulosic biomass

Biofuel eligibility

An advanced biofuel product must meet each of the following conditions to qualify for this program:

Must meet the definition of advanced biofuel and be produced in the United States

Must be a solid, liquid, or gas

Must be a final product

Must be sold as an advanced biofuel through an arm’s length transaction to a third party For additional program information, please refer to 7CFR 4288, subpart B.