Departments Of Navy, Agriculture, And Energy Release Request For Industry Feedback On $510 Million Biofuels Opportunity

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On August 30, 2011, the Departments of the Navy, Agriculture, and Energy released a Request for Information1 (RFI) following their recent announcement2 of plans to invest up to $510 million in advanced drop-in biofuels through the Defense Production Act (DPA). The principal objective of this forthcoming government-industry partnership is to construct or retrofit multiple domestic commercial or pre-commercial scale advanced drop-in biofuel plants and refineries. However, the goals of producing advanced fuels qualified for military use, deploying these facilities in a geographically diverse and strategic manner, and avoiding any impact on the supply of agricultural commodities are significant. Designing this effort will require a great deal of input from private industry. The RFI will be one of the primary methods for the departments to obtain industry feedback on a variety of topics, from conversion technologies to cost projections and other market drivers for (or obstacles to) the commercial production of advanced biofuels. Responding to the RFI is the next critical step in the process for industry members, as responses will be utilized to design the overarching framework for the $510 million investment partnership.

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