Minnesota Governor Aims to Increase Bioincentive Program Funding
by Erin Voegele (Ethanol Producer Magazine) Minnesota Gov. Tim Walz on Jan. 24 delivered his proposed budget to the state legislature. One provision of the budget proposes to significantly increase funding for the state’s Bioincentive Program.
Minnesota’s Bioincentive Program aims to spur private investment in the production of advanced fuels, renewable chemicals and biomass thermal energy. According to budget documents, claims for incentive payments have greatly exceeded funds appropriated for payments. In FY 2022 claims were more than $7.5 million, exceeding the $4.5 million appropriation by more than $3 million.
Total 2022 claims under the program include $2.78 million for advanced biofuels, $4.18 million for renewable chemicals, and $873,046 for biomass thermal. Approximately $1.32 million claims for advanced biofuel went unpaid, along with $1.63 million claims for renewable chemicals and $397,185 in claims for biomass thermal. READ MORE