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Higher Blends Infrastructure Incentive Program

Open
Open on July 1, 2023 for Fiscal Years 2023 and 2024. Application windows close at 4:30 pm Eastern on September 30, 2023; December 31, 2023; March 31, 2024; June 30, 2024, and September 30, 2024


What does this program do?

The purpose of the HBIIP is to increase significantly the sales and use of higher blends of ethanol and biodiesel by expanding the infrastructure for renewable fuels derived from U.S. agricultural products.

The program is also intended to encourage a more comprehensive approach to market higher blends by sharing the costs related to building out biofuel-related infrastructure.

Who may apply?

Transportation fueling facilities including:

  • Fueling stations, convenience stores, hypermarket fueling stations, fleet facilities (including rail and marine), and similar entities with capital investments;

Fuel distribution facilities, such as:

  • Terminal operations, depots, and midstream partners, and similarly equivalent operations.
  • Home heating oil distribution facilities

What funding is available?

Under HBIIP, approximately $90 million is made available each quarter to:

  • Fueling stations, convenience stores, hypermarket fueling stations, fleet facilities, and similar entities with capital investments) for eligible implementation activities related to higher blends of fuel ethanol greater than 10 percent ethanol, such as E15 or higher, and biodiesel greater than 5 percent biodiesel, such as B20 or higher; and
  • Terminal operations, depots, midstream partners, and home heating oil distributors for eligible implementation activities related to higher blends of fuel ethanol greater than 10 percent ethanol, such as E15 or higher, and biodiesel greater than 5 percent biodiesel, such as B20 or higher.

What are the terms?

Awards to successful applicants will be in the form of cost-share grants for up to 75 percent of total eligible project costs, but not to exceed $5 million, whichever is less.

What's new?

These changes were made to help improve HBIIP:

  • On a quarterly basis, make available approximately $67.5 million to transportation fueling facilities, $18 million to fuel distribution facilities, and $4.5 million to home heating oil distribution facilities.

  • Home heating oil distribution facility (80% or more annual throughput volume is home heating oil)” as an applicant type.

  • Increase Federal cost share for eligible activities to 75 percent for transportation fueling facilities who own 10 fueling stations or fewer and for home heating oil distribution facilities (80% or more annual throughput volume is home heating oil).

  • Updated capped costs for fuel dispensers and fuel storage tanks for transportation fueling facility applicants.  

How do we get started?

Click the “To Apply” tab above for application instructions and other resources.

Who can answer questions?

Jeff Carpenter
(402) 437-5554
HBIIP@usda.gov

Persons with disabilities that require alternative means for communication should contact the USDA Target Center at (202)720–2600 (voice).

Why does USDA Rural Development do this?

This program helps increase American energy independence. It increases the private sector supply of renewable energy.

This program will share the costs related to the upgrading of fuel dispensers (gas and diesel pumps), related equipment, and other infrastructure required at a location to ensure the environmentally safe availability of fuel containing ethanol blends greater than 10 percent or fuel containing biodiesel blends greater than 5 percent.

NOTE: Because citations and other information may be subject to change, please always consult the program instructions listed in the section above titled “What law governs this program?” You may also contact your local office for assistance.

To apply for the Higher Blends Grant program, please review the online application checklist below to determine the important documents you will need. You must also submit your completed HBIIP Online Access Request to HBIIP@usda.gov to gain access to the online application system.

Important Documents

Accessing Forms

If you are using Google Chrome, your browser settings may require you to first download the form and then open the form.

If an error message populates when opening these forms, please follow these steps to resolve the error:

  1. Open your version of Adobe Acrobat Reader.
  2. Go to the menu and click “Edit”.
  3. Next click “Preferences” and under the “Categories” drop down select “General”.
  4. Under the General, uncheck the option “show online storage when saving files” and then click the OK button.

 

Other Resources

Federal Register Notices

Technical Guidance

  1. Technical Standards and Corrective Action Requirements for Owners and Operators of Underground Storage Tanks (UST), 40 C.F.R. Part 280 and Part 281;  

  2. Regulation of Fuels and Fuel Additives, 40 C.F.R. Part 80; 

  3. Occupational Safety and Health Standards Subpart H—Hazardous Materials Section 106—Flammable Liquids, 29 C.F.R. §1910.106;

  4. Safety and Health Regulations for Construction Subpart F—Fire Protection and Prevention Section 152—Flammable Liquids, 29 C.F.R. §1926.152; 

  5. Automotive Fuel Ratings, Certification, and Posting, 16 C.F.R. Part 306;

  6. Handbook for Handling, Storing, and Dispensing E85 and Other Ethanol-Gasoline Blends
  7. Biodiesel Handling and Use Guide

  8. Rural Development environmental requirements can be found here: RD 1970 Environmental Policies and Procedures. 

  9. Benefits of the 1970 environmental regulations are described here: 7 CFR 1970 Benefits.

FAQs

 

There are no additional requirements at the national level. 

Consult your State Single Point of Contact (SPOC) for any additional state and/or local requirements and available resources.

You may also consult your State Rural Development Energy Coordinator.


 

Jeff Carpenter
(402) 437-5554
HBIIP@usda.gov

Consult your State Single Point of Contact (SPOC) for any additional state and/or local requirements and available resources.

Persons with disabilities that require alternative means for communication should contact the U.S. Department of Agriculture (USDA) Target Center at (202)720–2600 (voice).

Upcoming Webinars

 

Past Webinars


Inflation Reduction Act (IRA) Training 

  • July 6, 2023: Higher Blends Infrastructure Incentive Program (HBIIP) Overview and Enrollment Orientation PowerPoint | Webinar | FAQ
  • The Higher Blends Infrastructure Incentive Program (HBIIP) Environmental Review Process for Applicants | PowerPoint | Webinar 
  • The Higher Blends Infrastructure Incentive Program (HBIIP) Transportation Fueling Facility Applicant Deep Dive |
    PowerPointWebinar 
  • The Higher Blends Infrastructure Incentive Program (HBIIP) Transportation Fueling Facility Applicant (Rail/Marine) Deep Dive | PowerPoint | Webinar
  • The Higher Blends Infrastructure Incentive Program (HBIIP) Fuel Distribution Facility Applicant Deep Dive | PowerPoint | Webinar 
  • The Higher Blends Infrastructure Incentive Program (HBIIP) Post Selection Next Steps | PowerPoint | Webinar 

FY 22 Training

  • Tuesday, October 18, 2022: Office Hours | Q&As
  • Wednesday, October 5, 2022: Office Hours 
  • Tuesday, September 27, 2022: The Higher Blends Infrastructure Incentive Program (HBIIP) Fuel Distribution Facility Applicant Deep Dive | PowerPoint | Q&As | Recording
  • Thursday, September 22, 2022: The Higher Blends Infrastructure Incentive Program (HBIIP) Transportation Fueling Facility Applicant (Rail/Marine) Deep Dive | PowerPoint | Q&As | Recording
  • Tuesday, September 20, 2022: The Higher Blends Infrastructure Incentive Program (HBIP) Transportation Fueling Facility Applicant Deep Dive | PowerPoint | Q&AsRecording
  • Tuesday, September 13, 2022: The Higher Blends Infrastructure Incentive Program (HBIP) Environmental Review Process for Applicants | PowerPoint | Q&As | Recording
  • August 30, 2022: Higher Blends Infrastructure Incentive Program (HBIIP) Overview and Enrollment OrientationPowerPoint | Q&As | Recording

2nd Window Training

  • January 5, 2021: Question & Answer Hour
    Webinar Recording | PowerPoint | Q&As
  • December 30, 2020 : 2nd Window Training Follow-up
    Webinar Recording  | PowerPoint | Q&As
  • December 22, 2020: 2nd Window Training
    Webinar Recording | PowerPoint (TBA) | Q&As

Environmental Review

Introduction of HBIIP