Alternative fuel ideas are being batted around throughout the United States and the rest of the world that is dependent upon fossil fuels.  The exception to that statement is that there are a few countries – mainly in the Middle East – that are sitting pretty atop most of the oil being produced.

The state of Pennsylvania has created a $5.3 million annual grant program to help accelerate the production and use of biofuels. The biofuels would be produced in the state and diminish the use of and dependence upon foreign oil.

“Pennsylvania’s alternative energy industry continues to grow through the development and deployment of a new generation of power sources and fuels and smart energy policies,” said acting Environmental Protection Secretary John Hanger about Pennsylvania’s Alternative Fuels Incentive Grant Program. “Alternative fuels made from Pennsylvania’s crops are cleaner and invest millions of dollars into our economy by supporting our rural, agriculture-based communities.”

Since July, developers of fuel in Pennsylvania are required to put a percentage of ethanol or biodiesel into every gallon of gasoline or diesel fuel, respectively.  The governor of Pennsylvania, Ed. Rendell, put the legislation in force to encourage production of alternative fuels in the state.  The legislation allows for up to 10% of ethanol every gallon of gasoline and 20% of biodiesel in every gallon of diesel fuel.
 
The legislation which is called the Alternative Fuels Incentive Grant Program, will give 75 cents per gallon to eligible applicants, with a cap of $1.9 million annually per single producer. Up to $5.3 million annually will be available under the program through fiscal year 2010-2011.

Eligibility for the monthly incentives for producing alternative fuel, is dependent on applicants  producing and selling 25,000 gallons or more per month of qualified biomass-based diesel in Pennsylvania for transportation or home heating purposes.

Applications are available from DEP and will initially cover reimbursement requests for biodiesel produced and sold in Pennsylvania from July 1 through Sept. 30.  Applications must be postmarked or received by Nov. 14.   You can find information at www.depwe.state.pa.us, keyword: Alternative Fuels.