U.S. Department of Energy plans to fund development of biofuel projects

The U.S. Department of Energy’s Bioenergy Technologies Office (BETO) announced their intent to issue funding to support high-impact research and development (R&D) projects in two priority areas, including renewable Liquid Gas and renewable chemicals.

The funding opportunity would support R&D of domestic chemicals and fuels from biomass and waste resources to help secure domestic supply chains, support the growth of rural economies, and grow U.S. competitiveness in biotechnology and biomanufacturing industry, according to BETO.

The United States is the world’s second largest chemicals producer. The chemical sector is also critical to domestic manufacturing, with more than 96% of U.S. goods manufactured using products from the chemical sector, and to the U.S. workforce, with the chemical industry directly employing over half a million people. In addition, 4.2% of U.S. households and 7.8% of Midwest homes use LPG as their primary heating fuel, with rural households using 80% of all domestic propane consumption.

For BETO, producing chemicals and LPG from domestic renewable feedstock resources “could help fortify domestic supply chains, advance the sustainability of the industry by increasing energy efficiency and reducing greenhouse gas emissions, and ultimately, result in lower energy costs for householders.”

The notice of funding opportunity is expected to be released this month, and could include up to USD 23 million in federal funding for the following topic areas:

Topic Area 1: Biobased Chemicals
Topic Area 2: Biobased Propane/LPG

Source: U.S. Department of Energy

Photo: Unsplash

January 2025