Earlier in May, the USDA announced a $100 million partnership with 21 states through the Biofuel Infrastructure Partnership to double the number of fuel pumps that have renewable fuels.
Iowa is going to get $5 million of that and the Farm Service Agency is in talks with the Department of Transportation who applied for the grant money.
The goal is to put in around a 185 pumps and 25 tanks around the state. Private partners match the funding in a one to one ratio.
Executive Director for the Iowa FSA John Whitaker says, "This is an opportunity to support the market as prices have softened a little bit. And so, the benefit to Iowa, because we are the number one biofuels producer, is an opportunity to produce and sell more biofuels, an opportunity to get into second generation biofuels, you know, we've got new plants opening in Iowa that are doing cellulosic ethanol."
Whitaker says it's a boost for Iowa to sell higher blends of ethanol, "It's an opportunity for consumers to purchase something higher than an E-10 blend. That in itself will boost the domestic energy, domestic biofuels, which Iowa is a big player in."