EPA, DOE Award $6 Million to Advance Biofuel Technologies

The DOE and EPA have allocated $6 million to support biofuel technology advancements.

• By Robert Yaniz Jr.
• Jan 09, 2025

The U.S. Department of Energy (DOE) and the Environmental Protection Agency (EPA) have announced $6 million in funding for three projects aiming to advance biofuel development. The funding—provided through the Inflation Reduction Act—will focus on improving biofuel production technologies, reducing costs and scaling up systems in partnership with industry.

According to a recent release, the selected projects are located in New York, California and New Hampshire and align with DOE’s Sustainable Aviation Fuel Grand Challenge. Each project will develop biofuel technologies using sustainable biomass and waste feedstocks. These efforts are intended to reduce greenhouse gas emissions, expand the nation’s renewable fuels sector and lessen reliance on imported transportation and heating fuels.

The three projects receiving funding include:

• Air Company Holdings (Brooklyn, NY). Developing sustainable aviation fuel from biogenic carbon dioxide.
• Erg Bio Inc. (Dublin, CA). Demonstrating flexible biomass deconstruction and conversion technology at a pre-pilot scale.
• Terragia Biofuels (Hanover, NH). Converting corn stover to ethanol using engineered thermophilic bacteria.

Biofuels—which are derived from renewable biological sources like plants and algae—offer potential benefits such as strengthening the rural economy and promoting energy independence. These projects also contribute to the Renewable Fuel Standard Program, which mandates the integration of renewable fuels into the energy mix to reduce emissions and petroleum reliance.

The DOE’s 2023 Billion-Ton Report estimates that 134 million tons of agricultural residues and 32 million tons of wet waste could be sustainably sourced in the near future. The funded initiatives will leverage these resources to create cleaner fuels and support the domestic bioeconomy.

The EPA and DOE emphasize the importance of these projects in meeting renewable fuel standards and addressing climate goals. Additional funding opportunities are available through the DOE’s Bioenergy Technologies Office.