Biofuel and SAF Production Funding

Switchgrass harvest

The table below displays grants, tax credits, loans, and other funding that support biofuels and SAF production in the United States.

 

We strive to provide accurate and timely information on grants. However, please note that we have not reviewed these funding sources in detail. Grants listed may or may not be currently available or applicable to your needs. Also note that many federal grant programs have been paused indefinitely pending DOGE and White House Administrative review. Federal programs listed have been available historically through 2024.

 

This table is updated monthly.

 

For a personalized funding strategy, please contact us using the form on our Home Page.

 

ProgramFunderFunder TypeFunding TypeUsesEligibilityGeographyDeadlinesAward/IncentiveInfo LinkQA Notes
Clean Fuel Production CreditInternal Revenue ServiceFederal GovernmentTax IncentiveDomestic production and qualified sale of SAF and other clean transportation fuelsRegistered U.S. clean-fuel producers with qualified facilities and salesUnited StatesAvailable for eligible fuel produced and sold through December 31, 2029Formula-based per-gallon or gallon-equivalent income-tax credit; amount depends on applicable rate and emissions factorOfficial program pageProducer must register using Form 637. Fuel produced after December 31, 2025 must use feedstock produced or grown in the U.S., Mexico, or Canada. Actual benefit must exceed $50,000 to meet the search threshold.
Biorefinery, Renewable Chemical, and Biobased Product Manufacturing ProgramUSDA Rural DevelopmentFederal GovernmentLoan GuaranteeDevelopment, construction, and retrofitting of commercial-scale advanced-biofuel and biorefinery facilitiesEligible lenders financing individuals, public or private entities, governments, corporations, tribes, cooperatives, universities, laboratories, and public-power entitiesUnited States and eligible U.S. territoriesSeptember 1, 2026 letter of intent; October 1, 2026 Phase 1 applicationLoan guarantees up to $250 millionOfficial program pageOpen year-round for processing, with April and October decision cycles. Federal participation may not exceed 80% of eligible project cost; significant cash equity is required.
Title 17 Clean Energy Financing – Innovative EnergyU.S. Department of Energy, Office of Energy Dominance FinancingFederal GovernmentLoan GuaranteeCommercial-scale deployment of innovative SAF, biofuel, renewable-energy, and associated clean-fuel technologiesProject companies and other eligible entities capable of developing and repaying a commercial-scale clean-energy projectUnited StatesRolling pre-application consultationFinancing amount and terms are project-specific; undisclosedOfficial program pageSAF and biofuels are expressly identified as possible project areas. Technology must be new or significantly improved and meet Title 17 requirements.
Advanced Biofuel Payment ProgramUSDA Rural DevelopmentFederal GovernmentOtherIncentive payments for eligible advanced biofuel produced and sold in the United StatesIndividuals, businesses, nonprofits, governmental entities, educational institutions, associations, and other entities that produce and sell advanced biofuelUnited StatesClosed/Recurring; expected October 1–31, 2026 based on the published annual enrollment periodQuarterly production-based payments; no published minimum or maximumOfficial program pageCorn-kernel-starch fuel is excluded. Blenders are not eligible unless they independently qualify as producers. Because payments are formula- and appropriation-dependent, a payment above $50,000 is not guaranteed.
Biofuels Production IncentiveNatural Resources CanadaFederal GovernmentOtherProduction of biodiesel and renewable diesel for sale into the Canadian marketEligible Canadian biodiesel and renewable-diesel producers meeting feedstock, production, and sales requirementsCanadaRolling through December 31, 2027Tiered, non-repayable per-litre production incentive; aggregate program funding of C$372 millionOfficial program pageApplies to eligible fuel produced during 2026 and 2027. The program prioritizes North American feedstocks and Canadian sales. SAF is not identified as an eligible fuel on the current program page.
Clean Fuels FundNatural Resources CanadaFederal GovernmentOtherNew clean-fuel production facilities; retrofits and expansions; feasibility and front-end engineering studies; codes and standardsCanadian businesses, utilities, governments, Indigenous organizations, academic institutions, and other eligible project proponents, depending on streamCanadaRolling continuous intakeCost-shared, conditionally repayable contributions; project-specific amountOfficial program pageExtended through March 31, 2030. Biofuels and other qualifying clean fuels may be eligible. Applicants should confirm whether their project fits the capital, study, or enabling stream before preparing a submission.
Low Carbon Fuel Standard Initiative Agreement ProgramBritish Columbia Ministry of Energy and Climate SolutionsProvinceOtherSAF production, project development, infrastructure, co-processing, supply, and related investmentsEligible project proponents capable of entering an Initiative Agreement under the Low Carbon Fuels ActBritish ColumbiaRolling for SAF-related project descriptionsPerformance-based B.C. LCFS compliance credits; value depends on awarded credits and market priceOfficial program pageCurrently accepting only SAF-related proposals. Credits are awarded after major project milestones rather than upfront. Prior SAF projects have received anticipated awards exceeding 47,000 credits, but future awards are project-specific.
Low Carbon Fuel StandardCalifornia Air Resources BoardStateOtherProduction and supply of low-carbon fuels, including qualifying SAF and biofuelsFuel producers, importers, suppliers, and other regulated or opt-in participants with approved fuel pathwaysCaliforniaRollingTradeable LCFS credits based on fuel volume and lifecycle carbon intensity; value is market-basedOfficial program pageSAF may voluntarily generate credits when supplied into California. No guaranteed award exists; the value depends on approved carbon intensity, qualifying gallons, and market credit prices.
Oregon Clean Fuels ProgramOregon Department of Environmental QualityStateOtherProduction, import, and supply of ethanol, biodiesel, renewable diesel, alternative jet fuel, and other low-carbon transportation fuelsFuel producers, manufacturers, importers, suppliers, and eligible voluntary registered partiesOregonRollingTradeable credits based on fuel volume and carbon intensity; value is market-basedOfficial program pageAlternative jet fuel producers or importers may participate voluntarily. In-state transportation-fuel producers and specified importers have mandatory registration and reporting obligations.
Clean Fuel StandardWashington State Department of EcologyStateOtherProduction and supply of low-carbon transportation fuels, including biofuels and qualifying alternative jet fuelLow-carbon fuel producers and suppliers; certain in-state producers must participate, while other eligible producers may opt inWashingtonRollingTradeable clean-fuel credits based on carbon intensity and fuel supplied; value is market-basedOfficial program pageWashington updated its rules in November 2025 to expand credit opportunities for alternative jet fuel. In a Credit Clearance Market, the 2026 maximum price is $259.26 per credit, but ordinary bilateral credit prices can differ.
Sustainable Aviation Fuel CreditMinnesota Department of Revenue and Minnesota Department of AgricultureStateTax IncentiveProduction or blending of SAF for aircraft departing Minnesota airportsBusinesses producing SAF in Minnesota or blending SAF in MinnesotaMinnesotaCredit certificates available through June 30, 2035; apply within two months after the close of the applicant’s taxable yearRefundable credit of $1.50 per eligible gallon, with an emissions-based supplement that can increase the total to $2.00 per gallonOfficial program pageFuel must achieve at least a 50% lifecycle GHG reduction. A taxpayer may claim the production or blending credit, but not both. Allocation limits and available carryover funding apply.
Sustainable Aviation Fuel Purchase CreditIllinois Department of RevenueStateTax IncentivePurchases of SAF used by qualifying air carriers in IllinoisAir common carriers purchasing qualifying SAF for use in Illinois; sellers and producers have certification and reporting rolesIllinoisAvailable through December 31, 2032$1.50 per whole gallon of qualifying SAF purchasedOfficial program pagePurchase-based rather than producer-based. A benefit above $50,000 requires more than 33,333 qualifying gallons. Only the SAF portion of blended aviation fuel earns the credit.
Sustainable Aviation Fuel Production Tax Credit ProgramIowa Economic Development AuthorityStateTax IncentiveProduction of SAF at facilities located in Iowa using qualifying feedstockBusinesses manufacturing SAF in Iowa from qualifying feedstockIowaProduction eligible January 1, 2026–December 31, 2035; application timing governed by IEDA program rules and agreementsFormula-based production tax credit; project-specific amount subject to statutory individual and aggregate limitsOfficial program rulesProgram rules became effective June 17, 2026. Credits cannot be issued for pre-2026 production. Only SAF produced at an Iowa facility counts, and credits are nontransferable.
Sustainable Aviation Fuel Tax CreditNebraska Department of RevenueStateTax IncentiveProduction and sale or use of qualifying SAF mixturesRegistered SAF producers that obtain independent certification of federal sustainability and supply-chain requirementsNebraskaApplications begin July 1, 2027; applies to tax years beginning January 1, 2027 through December 31, 2034$0.75 per gallon, plus $0.01 for each percentage point that lifecycle GHG reduction exceeds 50%, up to $1.25 per gallon totalOfficial program informationNonrefundable. Statewide approvals are capped at $500,000 per fiscal year, and a producer may claim the credit for no more than five tax years. A producer would need at least 40,000–66,667 qualifying gallons to exceed $50,000, depending on emissions performance.
Agri-Processing Investment Tax CreditAlberta Agriculture and IrrigationProvinceTax IncentiveConstruction or expansion of biofuel, biomass, SAF, biochemical, and other value-added agricultural-processing facilitiesCorporations incorporated, registered, or continued in Alberta; registered partnerships other than LLPsAlbertaRolling conditional-approval applicationsNonrefundable tax credit equal to 12% of eligible capital investment; up to C$175 million per projectOfficial program pageMinimum eligible project investment is C$10 million. Eligible costs include new land, facility construction, and processing equipment. Joint ventures cannot apply directly, although eligible corporations participating in them may apply individually.
Innovative Clean Energy Fund – Open Call for Innovation and PartnershipsBritish Columbia Ministry of Energy and Climate SolutionsProvinceGrantPre-commercial clean-energy technology development, demonstrations, bioenergy, waste-to-energy, research, and clean-energy partnership projectsBusinesses, universities, First Nations, municipalities, and other eligible clean-energy project partnersBritish ColumbiaRolling; funding availability determined annuallyProject-specific; undisclosedOfficial application pageSAF or biofuel projects must demonstrate a strong clean-energy and provincial benefit. Applicants begin with an inquiry form; this is distinct from the closed 2026 Targeted Call. Award size is not guaranteed to exceed C$50,000, but undisclosed awards were allowed under your criteria.
Sun Grant ProgramUSDA National Institute of Food and AgricultureFederal GovernmentGrantBioenergy and biomass R&D coordination, biobased-energy technologies, agricultural production systems, rural economic development, and subgrantsA consortium representing 1862, 1890, and 1994 land-grant institutions, with one entity from each Sun Grant region and sub-regionUnited States17-Aug-26One expected award of $2,801,160; no cost share requiredOfficial opportunity listingVery narrow applicant eligibility. A consortium could support biofuel or SAF feedstock, conversion, or bioenergy research, but individual businesses and universities cannot apply independently.
Innovation Employment GrantAlberta Tax and Revenue AdministrationProvinceGrantBiofuel or SAF process R&D, feedstock research, conversion technology, emissions reduction, testing, and related experimental developmentCorporations conducting qualifying R&D in Alberta with less than C$50 million in taxable capitalAlbertaClaimed with the corporation’s annual Alberta income-tax return8% of eligible R&D spending up to the company’s base level and 20% above the base level; benefits apply to up to C$4 million of annual eligible spendingOfficial program pagePotential maximum benefit is C$800,000 annually. Expenses must also qualify under the federal SR&ED program. The grant phases out between C$10 million and C$50 million in taxable capital.
Small Business Venture Capital Tax CreditManitoba Department of Innovation and New TechnologyProvinceTax IncentiveEquity financing for facility development, technology commercialization, working capital, equipment, and other approved business usesPre-approved Canadian-controlled private corporations with a permanent establishment in Manitoba and qualifying investorsManitobaRolling pre-approval applicationBusinesses may raise up to C$10 million in qualifying equity; investors receive a 45% nonrefundable Manitoba tax creditOfficial program pageBiofuel processing is potentially eligible because agricultural-product processing is allowed, but farming and oil, gas, or mineral processing are excluded. Proceeds must be used for approved purposes within three years.
Saskatchewan Technology FundSaskatchewan Ministry of Environment; administered by Innovation SaskatchewanProvinceGrantFacility technology, process improvements, equipment and innovation that reduce direct or purchased-energy GHG emissionsSaskatchewan-regulated emitters with an established baseline under the provincial Output-Based Performance Standards programSaskatchewanUndisclosedProject-specific; undisclosedOfficial program pageA biofuel or SAF facility could qualify only if it is an eligible regulated emitter and the project reduces Scope 1 or Scope 2 emissions at its own Saskatchewan facility. One project per regulated emitter per intake.
Regional Economic Growth through InnovationAtlantic Canada Opportunities AgencyEconomic Development AgencyLoan/FinancingTechnology demonstration and adoption, production scale-up, manufacturing capacity, equipment, commercialization, pre-production and market expansionBusinesses and business-serving nonprofits; ecosystem stream also supports post-secondary institutions, municipalities, Indigenous entities, associations and consortiaNew Brunswick, Newfoundland and Labrador, Nova Scotia and Prince Edward IslandUndisclosedInterest-free repayable contribution for businesses; non-repayable contribution for eligible nonprofit ecosystem projects; amount undisclosedOfficial program pageBroad rather than biofuel-specific. Strongest fit is a commercially viable Atlantic biofuel or SAF technology, production-capacity, demonstration or commercialization project with measurable regional economic benefits.
Technoclimat – Clean Fuels Production Innovation StreamQuébec Ministry of the Environment, the Fight Against Climate Change, Wildlife and ParksProvinceGrantPre-commercial demonstration and first-in-Québec testing of bioenergy, green-hydrogen and electrofuel production technologiesCorporations and partnerships with an operating establishment in QuébecQuébecRollingUp to 50% of eligible expenses, capped at C$6 million per projectOfficial program pageDirect biofuel/SAF fit. Projects generally must cost C$6 million–C$60 million and involve TRL 4–7 pre-commercial innovation or testing of a commercial technology largely absent from Québec. Total public and utility assistance cannot exceed 75% of eligible costs.
ÉcoPerformanceQuébec Ministry of the Environment, the Fight Against Climate Change, Wildlife and ParksProvinceGrantBioenergy conversion, bioenergy-production and distribution infrastructure, industrial energy efficiency, process-emission reductions and feasibility analysisBusinesses, institutions, municipalities and organizations in industrial, commercial, agricultural, agri-food, manufacturing, institutional and municipal sectorsQuébecRollingBioenergy-conversion assistance up to C$10 million per site annually; large industrial projects up to C$80 million per siteOfficial program pageBest fit for a biofuel or SAF facility reducing its own fossil-fuel use, converting processes to bioenergy, or developing qualifying bioenergy infrastructure. It is not primarily a grant for producing transport fuel for sale.
Business and Industry Guaranteed LoanUSDA Rural DevelopmentFederal GovernmentLoan GuaranteeConstruction, expansion or modernization of biofuel and SAF facilities; land, buildings, infrastructure, machinery, equipment, inventory, acquisitions and eligible refinancingFor-profit and nonprofit businesses, cooperatives, federally recognized tribes, public bodies and individuals conducting businessRural United States; project generally must be outside cities or towns exceeding 50,000 residentsRolling; lender applications accepted October 1–September 30FY2026 guarantee of 85% for loans below $5 million and 80% for loans of $5 million or more; loan term up to 40 yearsOfficial program pageBroad rather than biofuel-specific. The commercial lender applies for the guarantee. Borrower must demonstrate repayment ability and provide adequate collateral. A temporary USDA pause applies to certain biodigester applications, so anaerobic-digestion projects require confirmation before proceeding.
Rural Economic Development Loan and Grant ProgramsUSDA Rural DevelopmentFederal GovernmentLoan/FinancingBiofuel or SAF facility start-up and expansion; real estate, buildings, equipment, working capital, technical assistance, and rural job creationCurrent or former Rural Utilities Service borrowers and eligible nonprofit utilities apply; businesses and other projects receive financing as ultimate recipientsRural United States; generally communities with fewer than 50,000 residentsApplications accepted year-round through USDA state offices; FY2026 quarterly competitions concluded June 30, 2026, with the next cycle not yet publishedZero-interest loans up to $1 million; grants up to $300,000 to establish revolving loan fundsOfficial program pageThe rural utility—not the biofuel company—submits the USDA application. First-time pass-through loans may cover up to 80% of project costs; the recipient or utility supplies the remaining 20%.
Public Works and Economic Adjustment AssistanceU.S. Economic Development AdministrationFederal GovernmentGrantSite preparation, utility extensions, transportation and industrial infrastructure, workforce facilities, feasibility work, planning, and regional initiatives supporting biofuel or SAF industry developmentStates, local governments, tribes, institutions of higher education, nonprofit organizations, and eligible economic-development entitiesEconomically distressed areas of the United States and U.S. territoriesRolling; no application deadline while the current NOFO remains active and funds remain availableProject-specific; undisclosedOfficial funding opportunityFor-profit biofuel companies cannot generally apply directly but may benefit from infrastructure sponsored by an eligible public or nonprofit applicant. Projects must satisfy EDA distress, economic-development, investment-priority, and cost-share requirements.
Business Growth and CompetitivenessFederal Economic Development Agency for Northern OntarioEconomic Development AgencyLoan/FinancingProduction expansion, equipment, productivity improvements, technology adoption, market development and commercializationIncorporated SMEs operating in Northern Ontario; project and business viability requirements applyNorthern OntarioRollingGenerally up to 50% of eligible supported costs; normally repayable for commercial businesses; maximum amount undisclosedOfficial program pageBroad rather than fuel-specific. Biofuel and SAF projects would need to demonstrate business growth, competitiveness, employment and regional economic benefits. Funding availability may be constrained by demand.
Biofuels PACE ProgramBank of North DakotaStateLoan/FinancingPurchase or construction of real property, facility expansion, and equipment installation for ethanol, biodiesel, or green-diesel productionNorth Dakota ethanol, biodiesel, and green-diesel production facilities meeting the program’s fuel criteria; local lender participation requiredNorth DakotaRolling through participating local lendersInterest-rate buydown of as much as 5 percentage points; maximum buydown of $500,000 for an eligible fuel-production facilityOfficial program pageDirect biofuel match, but SAF is not expressly eligible. Requires 40%–50% borrower equity, adequate collateral, and approval by both a local lender and BND. BND must hold 50%–80% of the loan.
Alternative and Clean Energy ProgramPennsylvania Department of Community and Economic Development and Department of Environmental ProtectionStateGrantDevelopment, construction, and utilization of alternative- and clean-energy production projects and associated equipment or facilitiesBusinesses, economic-development organizations, municipalities, counties, and school districtsPennsylvaniaUndisclosed; applications handled through the Commonwealth Financing AuthorityLoans up to $5 million or 50% of project cost; grants up to $2 million or 30% of project cost; loan guarantees up to $5 millionOfficial program pagePotential fit for qualifying biofuel or SAF production, but applicants should obtain a project-specific eligibility determination before applying. Requires at least $1 of matching investment for every $1 awarded.
Energy Seed Grant ProgramMaryland Energy Innovation Institute, University of MarylandCollege/UniversityGrantPrototype development, process demonstration, technology validation, intellectual-property advancement, startup formation and commercialization of energy technologiesFull-time tenure-track or professional-track faculty at eligible Maryland higher-education institutions; Maryland companies affiliated with and commercializing inventions created by eligible facultyMaryland8-Nov-26Phase I awards up to $100,000; potential Phase II awards up to $200,000 for prior seed-grant recipientsOfficial program pageBiofuel or SAF technology is potentially eligible when it advances energy technology and economic growth in Maryland. The project should have institutional intellectual-property protection and a credible commercialization pathway.
XLerate ProgramIndependent Electricity System Operator – Save on EnergyUtilityUtility IncentiveLarge industrial-process efficiency upgrades, waste-heat recovery, process optimization, industrial heat pumps, compressed-air systems, motors and controlsOwners or operators of Ontario nonresidential facilities; authorized third-party applicants may also applyOntarioRolling; application must precede any binding purchase commitment$300 per MWh of verified annual savings, up to 75% of eligible costs and $15 million per project; feasibility-study support at 50% cost share, up to $100,000Official program pageStrong facility-level match for an operating or planned biofuel/SAF plant. Project must save at least 600 MWh annually. Fuel-switching and most generation projects are excluded, but waste-energy recovery may qualify.
Retrofit ProgramIndependent Electricity System Operator – Save on EnergyUtilityUtility IncentiveManufacturing equipment, variable-speed drives, compressors, HVAC, chillers, industrial energy-management systems, controls and custom equipment retrofitsOwners or authorized lessees of industrial, commercial, agricultural, municipal, university and other eligible Ontario facilitiesOntarioRolling; pre-project application and approval requiredUp to 50% of eligible project costs; custom incentives are generally the greater of $1,800 per kW or $0.20 per kWh of verified savingsOfficial program pageSuitable for smaller or less complex plant-efficiency projects that do not meet XLerate’s 600-MWh threshold. Incentives above $50,000 are possible but depend on savings and project costs.
Renewable Energy ProgramNorth Dakota Industrial CommissionStateGrantBiofuel and advanced-biofuel research, development, demonstration, commercialization, biomass utilization, biomaterials and renewable-energy coproduct developmentPolitical subdivisions, corporations, partnerships, cooperatives, associations and eligible consortiaNorth DakotaUndisclosed; next submission deadline is to be determinedMatching grants; project-specific amount undisclosedOfficial program pageDirect advanced-biofuel match. Private-dollar match is required. The March 2026 round awarded two grants of $500,000 each, confirming that awards can exceed the $50,000 threshold.
Nebraska Biodiesel Tax Credit ActNebraska Department of RevenueStateTax IncentiveRetail sale and dispensing of biodiesel and qualifying biodiesel blendsRetail motor-fuel dealers selling and dispensing biodiesel through pumps at Nebraska retail fuel sitesNebraskaClosed/Recurring; January 1–April 15 annuallyRefundable income-tax credit of $0.14 per eligible biodiesel gallon sold during the prior calendar yearOfficial program pageRetail-market incentive rather than producer funding. Only the biodiesel portion of a blend qualifies. Approximately 357,143 eligible gallons are required to generate a $50,000 credit. The annual statewide authorization limit is $1 million.
Growth Capital ProgramInvest Nova ScotiaEconomic Development AgencyLoan / FinancingCommercialization, manufacturing expansion, equipment, working capital, export growth, clean technology commercializationNova Scotia businesses demonstrating growth potentialNova ScotiaRollingLoans generally from C$500,000 to C$15 millionNot biofuel-specific, but commercial SAF, renewable diesel, ethanol, or biorefinery companies located in Nova Scotia may qualify. Financing is negotiated individually based on project economics.