ENERGY Title Working Group Comments
PROGRAMS
BIOMASS CROP ASSISTANCE PROGRAM (BCAP)
A “safety net” program like BCAP is indeed necessary to establish solid supply chain
management, logistics practices and dedicated energy crops for advanced biofuels
production—but it must be one that participants can count on.
Matching payments to participants in the collection, harvest, storage and transport (CHST)
portion of the program were stopped abruptly, after many had made permanent
investments to qualify for the program. Moreover, providing CHST payments for only two
years in some cases discouraged potential participants from establishing supply chain
systems because longer-term support is needed to explore these relatively new issues.
The second portion of BCAP—payments for dedicated energy crop establishment—were
recently implemented after a long rule-making process. However, the duration of payments
(as short as five years) is unreasonable given the enormous risks associated with switching
from traditional, well-established energy crops to new crops like perennial grasses.
Therefore, it is recommended that funding for both provisions of BCAP should be extended
with the duration of each type of payment also extended. Recommendations to update the
program include:
 Ensure adequate sustainability language is present, especially related to corn stover
and other annual crops
 Equalize the funding levels between the Project Area and Matching Payment
portions of the program
 Develop and administer a competitive program scoring system
 Make available templates and background information available to reduce the
burden for program applicants
 Implement a tired approach to better target matching payments
 Provided maximum contract length terms for annual payments
 Require conservation plans for all program participants that enhance soil, water
conservation and wildlife.
 Extend funding for BCAP to support the harvest, transportation and storage of
biomass
RURAL ENERGY FOR AMERICA PROGRAM (REAP)
Support and encourage energy initiatives that increase energy conservation and fuel
efficiencies for producers, reduce fossil fuel use on the farm and in rural communities, and
promote ecologically healthy fish and wildlife populations, habitats and other natural
resource conservation goals by continuing to expand the Rural Energy for America program
(REAP).
Future programmatic considerations could include setting aside a percentage of project
funds for state-level priority projects, industries and investments.
1
BIOMASS RESEARCH AND DEVELOPMENT INITIATIVE (BRDI)
Continue and extend support for BRDI. The 2012 Farm Bill should allow information on
program applicants to be made public. This would increase transparency about what types
of projects receive funding and would improve the ability of state agency staff to provide
guidance for potential applicants.
ADVANCED BIOFUELS PAYMENT PROGRAM
This program provides necessary support to producers willing to take on the risk of
advanced biofuels production. However, program implementation has been somewhat
inconsistent due to issues in the rulemaking process about whether to only provide
payments to rural area producers. The 2012 Farm Bill should clarify this issue by
broadening program eligibility to include non-rural and foreign-owned biofuel facilities,
thereby furthering the Administration’s goal of increasing the production of advanced
biofuels.
In addition, although fuels such as butanol are eligible for payments under the current
program, the 2012 Farm Bill could further encourage production of fuels beyond 2-carbon
alcohols by providing differing incentives for various types of advanced fuels.
REPOWERING ASSISTANCE PROGRAM
The Repowering Assistance Program demonstrates recognition at the federal level that the
existing bioenergy industry is a necessary bridge to advanced bioenergy production—one
worth investing in and building on. The program has succeeded in providing support to
existing, often “traditional,” facilities seeking to improve operations and efficiencies by
replacing fossil with biomass inputs for energy.
The 2012 Farm Bill should continue the Repowering Assistance Program and consider
bolstering it with additional funding to support additional projects. The program could also
be augmented by including funds for environmental upgrades, such as reduced water use
and emissions.
BIOREFINERY ASSISTANCE PROGRAM
This program provides essential support for developing the nation’s advanced biofuels
industry through loan guarantees for the development, construction, and retrofitting of
commercial-scale biorefineries. However, programmatic requirements may be too
stringent for some otherwise optimal applicants. Anecdotal evidence suggests that certain
Minnesota companies have been discouraged from applying due to requirements for pilotscale demonstration production. Many technically viable projects require capital to
demonstrate operations at the pilot level. The 2012 Farm Bill should consider modifying
2
this program to make it more accessible to early-stage advanced biorefinery operations—
without which commercial-scale facilities will not become a reality.
BIOENERGY PROGRAM FOR ADVANCED BIOFUELS
The 2012 Farm Bill should include the extension of the Bioenergy Program for Advanced
Biofuels program.
INFRASTRUCTURE
Support national development of biofuels infrastructure
The 2008 Farm Bill mandated a study on biofuels infrastructure but did not provide
incentives for development. Meeting national RFS2 goals is unlikely to be feasible without
ramping up both flex fuel vehicles and blender pumps for mid- and high-level ethanol and
biodiesel blends. The 2012 Farm Bill should take into consideration any recommendations
made by the mandated study and provide incentives for biofuels infrastructure
development. Focusing on metro areas in the Midwestern states where fuel demand and
supply are both high will likely yield the most benefits.
The 2012 Farm Bill should Support national development of biofuels infrastructure by
Provide assistance for the installation of ethanol blender pumps in new construction and
retrofit applications.
EMISSIONS
Recommendations include:
 Supporting cropping systems that mitigate the negative impacts of climate change
(e.g.-increased nutrient runoff from more frequent heavy precipitation events) by
expanding CRP for example
 Provide funding support to reduce all agricultural greenhouse gas emissions,
including nutrient oxide and methane and enhanced carbon storage as national
priorities
 Provide funding support for states, US EPA and USDA to verify methane
sources/sink database
 Through conservation and forestry programs enhance the preservation of
important fish and wildlife dispersal corridors so species can adapt to climateinduced habitat loss
 Provide increased support of energy conservation in agricultural programs
 Explicitly specify nitrous oxide and methane mitigation opportunities in any existing
climate change language
 Research on green house gas sequestration related to second generation biofuels
production
BIOMASS
Continue targeted support for wood-to-energy
3
The 2008 Farm Bill provided funding for community wood energy projects. Targeted
support for wood-to-energy could be augmented by providing additional funds and
expanding programmatic details. Specific recommendations include:
 Include scientific study on carbon tradeoffs associated with harvesting woody
biomass versus leaving it lay/stand
 Extend the provisions of the matching funds grants to develop community wood to
energy plans
 funds for demonstration and deployment of cost-effective harvesting methods and
equipment for small diameter woody biomass would help push the wood-to-energy
industry forward
 The improvement of nationally and internationally accepted standards for the
production and use of renewable fuels such as ethanol and biodiesel.
 Promotion of managed biomass harvest on lands enrolled in conservation programs
such as the Conservation Reserve Program and ensure that the biomass harvest is
conducted in such a manner to ensure proper residue and nutrient management.
 Proper management of biomass removal from lands under active agricultural
production to ensure proper residue and nutrient management.
 Continuation of the renewable biomass definition as passed in the Food,
Conservation, and Energy Act of 2008.
EQIP & CONSERVATION PROGRAMS
Recommendations include:
 Expand EQIP and CSP to provide increased funding support for on-farm energy
audits

Expand funding of Conservation Innovation Grant program (CIG), administered
through EQIP, to research and publish information specific to anaerobic digesters.
MISC.
Recommendations include:
 National renewable energy standards.

4
Extending the competitive research and development program.