More Job-Creating Biomass Crop Projects Announced Recently

Over the summer, the U.S. Department of Agriculture (USDA) announced the establishment of nine new biomass production project areas across the U.S. as part of the Biomass Crop Assistance Program (BCAP). The USDA estimates that more than 7,000 jobs will be created when these projects are fully underway. However, the agency is rapidly running out of funds for new project areas, and the House has zeroed out funding for the program for FY12.

Developing next generation biofuels and bioenergy will help create jobs, reduce U.S. dependence on petroleum and other fossil fuels, help keep more of the nation’s energy dollars invested here at home, and help rural America grow its way out of recession. Federal support for developing sustainable biomass feedstocks and biorefineries is especially critical now when the advanced biofuels industry is just getting started.

Commercial scale bioenergy production requires bringing together biomass producers and bioenergy producers within a close radius so as to minimize the cost of transporting large volumes of bulky biomass. A bioenergy plant will not be built if there is not an adequate supply of biomass nearby, but biomass producers will not begin planting biomass crops or harvesting biomass residues until they are assured that a nearby bioenergy plant will buy their biomass. Further, it may take 3-7 years to establish new perennial grasses or short-rotation woody biomass energy crops. Something has to happen to help coordinate and develop these elements together. That’s what the BCAP program is designed to do.

BCAP supports the establishment of new energy crops that can be used to produce advanced biofuels, bioheat, biopower, or bio-based products. BCAP project areas group energy crop and biomass producers with nearby energy conversion facilities that will buy their crops. On May 5, the USDA announced the selection of the first biomass feedstock project area for the BCAP program spanning 50,000 acres in 39 counties in Missouri and Kansas. Additional project areas were announced June 15 and July 26 in California, Kansas, Montana, Oklahoma, Oregon, Washington, Arkansas, Missouri, Ohio and Pennsylvania.

The House and Senate have yet to begin negotiations over the FY2012 appropriations for agriculture programs. The House zeroed out funding for BCAP in its appropriations bill, but the Senate appropriations committee left the program fully funded. The fate of BCAP is also being considered by the House and Senate agriculture committees in the farm bill reauthorization process and by the budget super-committee which is charged with reducing the deficit.