USDA announces REAP awards, funds bioenergy projects

Energy Disrupter

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The USDA on Aug. 30 awarded $266 million to 1,334 renewable energy and energy efficiency projects under the Rural Energy for America Program. Biofuel, biobased power, biogas and wood pellet projects are among those that will benefit from the funding.

Force Energy Corp. has been awarded a $4.2 million loan to support the development of a California-based wood pellet manufacturing facility that generates it own energy to process byproduct. The company plans to install a combined-heat-and-power (CHP) system to produce off-grid energy for drying and densifying wood residues. According to the USDA, the system will generate 400 kilowatt hours (kWh) of electricity that will be used for plant operations and more than 1,500 kilowatts (kW) of thermal energy to be used for feedstock drying. The proposal supports forest treatment for forest health and will help reduce greenhouse gas (GHG) emissions while providing improved fire safety to local residents. The agency said the project is also expected to create 24 jobs.

Also in California, Hat Creek Bioenergy was awarded a $9 million loan to support the development of a 3 megawatt (MW) biomass power plant in Burney, which is located in the state’s Shasta County. The facility will process wood waste biomass to produce electricity for the power grid. According to the USDA, the project will increase energy security for rural residents while also helping resolve an environmental issue with wood waste products. The system is expected to produce 3.64 million kWh per hear, which is enough electricity to power more than 490 homes, while creating 16 new jobs.

Illinois-based Incobrasa Industries Ltd. has been awarded a $1 million grant to support the installation of a 7.5 MW solar array to help power the company’s biodiesel plant located in Gilman, Illinois. The project is expected to save the business more than $1.21 million annually and replace 12.46 million kWh of power, which is enough to power 1,149 homes.

A biodiesel plant in Pennsylvania has also been awarded a REAP grant. That $79,900 award has been made to World Energy Harrisburg LLC to help support the installation of a condenser unit at its facility in Camp Hill, Pennsylvania. According to the USDA, the condenser unit, components and ancillary infrastructure of a cooling tower will improve methanol recovery and boost biodiesel production at the facility by 4.68 million gallons per year.

Aemetis Biogas 2 LLC has been awarded at $25 million loan to support the construction of five anaerobic digesters and associated pipelines located in the cities of Ceres, Hilmar and Turlock, California. Aemetis Biogas 2 LLC is a new entity whose purpose is to generate biogas in the Merced and Stanislaus counties. The USDA said the projects are expected to capture 242,812 MMBtu of biomethane that will be converted into renewable natural gas (RNG) and sold as transportation fuel.

In Colorado, WTE-Wolf Creek LLC has been awarded an $18.33 million loan that will support the construction of a dairy manure-to-RNG project at the Wolf Creek Dairy in Winsor, Colorado. Biogas will be produced from dairy manure utilizing a digester. The project is expected to generate 450-500 SCFM of raw biogas per year.

Wagner Farms LLC, a family-owned dairy farm in Poestenskill, New York, has been awarded a $422,806 grant that will support the purchase and installation of a 335 kw CHP biogas generator. The project is expected to save the farm $242,103 annually and generate 2.79 million kWh of energy per year.

Idaho-based Hidden Hollow Energy LLC has been awarded a $25 million loan. The investment will be used to refinance and convert landfill gas to electricity at the Ada County Landfill in Garden City, Idaho. Hidden Hollow Energy will be facilitating the acquisition and installation of equipment needed to upgrade landfill gas to pipeline quality RNG. The company intends to connect to the Intermountain Gas Co. pipeline and sell all gas and environmental attributes to Shell Energy North America, which will market the RNG into the transportation fuel market.

Fibonacci LLC, a hempwood manufacturing facility in Murray, Kentucky, has been awarded a $79,400 grant to support the purchase and installation of a BioBurner boiler/burner to generate thermal energy. The improvements are expected to save $12,426 annually and generate 140,318 kWh, enough to power 13 homes.

Carolina Poultry Power RG2 LLC has been awarded a $250,000 grant to support the purchase and installation of a poultry litter waste-to-energy biomass facility. The company is a newly created entity for the purposes of generating steam for electricity generation in Wilson, North Carolina. The system is expected to produce 184.34 million kWh per year, which is enough electricity to power 16,758 homes.

Carolina Poultry Power RG3 was awarded a $25 million loan to support the construction of a poultry litter biomass power plant capable of generating 1.5 MW gross electrical power and 75 MMBtu per hour of thermal energy. The facility will be located adjacent to the town of Le Grange’s wastewater treatment plant and will provide poultry litter-derived electrical and thermal energy for the wastewater treatment plant. CPP-La Grange will generate renewable energy certificates (RECs), which will be sold to North Carolina utilities to assist in meeting the obligations set forth under the state’ s renewable energy and energy efficiency portfolio standard.  

In Maine, Lakin Foley LLC, doing business as East Forty Farm Creamery, has been awarded at $19,540 grant to support the installation of a wood fire gasification boiler, which is expected to generate 26,609 kWh annually with an estimated annual cost savings of $7,116. The system will conserve water by reducing demand to heat the vat from 80 gallons to 13 gallons. According to the USDA, the reduction of reliance on the electrical grid to heat the buildings’ water and pasteurized milk will reduce air emissions.

A full list of awards is available on the USDA website