Biofuel and SAF Production Funding
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.
| Program | Funder | Funder Type | Funding Type | Uses | Eligibility | Geography | Deadlines | Award/Incentive | Info Link | QA Notes |
|---|---|---|---|---|---|---|---|---|---|---|
| Clean Fuel Production Credit | Internal Revenue Service | Federal Government | Tax Incentive | Production and sale of qualifying SAF and other low-emission transportation fuels | Registered U.S. clean-fuel producers operating qualified facilities | United States and U.S. territories | Available for qualifying fuel produced and sold through December 31, 2029 | Emissions-based per-gallon or gallon-equivalent income tax credit; after 2025, generally calculated from a $0.20 or $1.00 applicable amount, adjusted for inflation and multiplied by the fuel’s emissions factor | Official program page | Producer must register with the IRS before production. Fuel produced after 2025 must use feedstock grown or produced in the U.S., Canada, or Mexico. Actual benefit can exceed $50,000 only at sufficient production volume. |
| Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Program | USDA Rural Development | Federal Government | Loan Guarantee | Development, construction and retrofitting of commercial-scale advanced-biofuel biorefineries | Eligible lenders applying on behalf of individuals, businesses, public entities, governments, tribes, cooperatives, universities and other qualified borrowers | United States and eligible territories | Letter of intent: September 1, 2026; Phase 1 application: October 1, 2026 | Loan guarantee up to $250 million; total federal participation cannot exceed 80% of eligible project costs | Official program page | Strong fit for commercial advanced-biofuel or SAF facilities. Significant borrower cash equity is required, and the application uses a two-phase lender-driven process. |
| Advanced Biofuel Payment Program | USDA Rural Development | Federal Government | Other | Production of eligible advanced biofuels derived from renewable biomass other than corn-kernel starch | Any entity producing and selling qualifying advanced biofuel in the U.S. | United States | Closed/Recurring; expected October 1–31, 2026 based on the stated annual enrollment period | Quarterly production payments; no published minimum or maximum | Official program page | Award amount is undisclosed and depends on production, participating producers and annual appropriations. Blenders that do not produce the eligible fuel are ineligible. |
| Biofuels Production Incentive | Natural Resources Canada | Federal Government | Other | Production of biodiesel and renewable diesel at eligible Canadian facilities | Eligible Canadian biodiesel and renewable-diesel producers | Canada | Continuous intake through December 31, 2027 | Per-litre production incentive; total payment depends on eligible production and program terms | Official program page | Open as of July 2026. This is a direct production incentive, but the current program materials identified in the search do not establish a fixed minimum award per applicant. SAF does not appear to be directly covered. |
| Clean Fuels Fund – Building New Domestic Production Capacity | Natural Resources Canada | Federal Government | Loan/Financing | Construction, retrofit or expansion of commercial clean-fuel production facilities, including advanced biofuels | Canadian legal entities and eligible Indigenous-led applicants, subject to stream-specific requirements | Canada | Undisclosed | Cost-shared, conditionally repayable funding; amount varies by stream and project | Official program page | Strong capital-project fit, but applicants should confirm whether NRCan is presently accepting new submissions under the applicable stream. The broader fund has supported advanced biofuel and other clean-fuel production. |
| Clean Fuels Call for Proposals | Natural Resources Canada, Energy Innovation Program | Federal Government | Grant | Pre-commercial RD&D, pilot and demonstration projects for clean-fuel production, transport and storage, including biofuels | Canadian for-profit and nonprofit entities, Indigenous organizations and, for transport/storage projects, provincial or territorial governments | Canada | Closed; expected future cycle is undisclosed | Generally $500,000–$2 million for R&D and $2 million–$5 million for pilot projects; contribution rates vary by project and applicant | Official applicant guide | The 2025 call is closed, but it remains a recent, program-specific opportunity with clear biofuel eligibility. Universities may participate as partners but generally cannot be the lead recipient under the clean-fuel production focus area. |
| Alternative Fuels Incentive Grant | Pennsylvania Department of Environmental Protection | State | Grant | Biofuel vehicles, fleet conversions, refueling equipment, research, training and demonstration | Pennsylvania businesses, nonprofits, municipalities and school districts | Pennsylvania | October 7, 2026, 12:00 p.m. ET | Up to $300,000 per application and $500,000 per applicant across applications | Official program page | Eligible fuels expressly include biodiesel, ethanol, methanol and other advanced biofuels. Approximately $5 million is available for 2026. Project-specific cost-share and award calculations apply. |
| Renewable Fuel Infrastructure Program | Iowa Department of Agriculture and Land Stewardship | State | Grant | Installation, replacement or conversion of ethanol and biodiesel retail or terminal infrastructure | Iowa motor-fuel retail sites and biodiesel terminal facilities | Iowa | Undisclosed; applications accepted for future board meetings | Up to $75,000 for ethanol projects; up to $50,000 for biodiesel retail projects; up to $100,000 for qualifying biodiesel terminal projects | Official program page | Current application materials were updated in April 2026. A five-year commitment is required. The July 29, 2026 board-meeting deadline passed on July 9, but the agency directs applicants to submit for future meetings. |
| AGRI Biofuels Infrastructure Grant | Minnesota Department of Agriculture | State | Grant | Equipment at service stations to expand sales of ethanol blends containing at least 15% ethanol | Minnesota retail service stations meeting ownership and site-count requirements | Minnesota | Closed/Recurring; expected spring 2027 based on recent annual cycles | $5,000–$199,000 per project | Official program page | FY27 applications closed June 2, 2026. At least 35% cash match is required. The program expected to award $4.7 million in the latest cycle. This is an ethanol-infrastructure opportunity, not SAF production funding. |
| Low Carbon Fuel Standard Initiative Agreement Program | British Columbia Ministry of Energy and Climate Solutions | Province | Other | SAF production, supply, infrastructure and related low-carbon fuel projects | Project proponents capable of satisfying the Low Carbon Fuels Act and achieving negotiated milestones | British Columbia; projects must support the province’s low-carbon fuel objectives | Rolling for SAF project descriptions | Negotiated, performance-based compliance credits; amount undisclosed | Official program page | Currently accepting SAF proposals only. Credits are awarded after major milestones and may be traded or used for compliance. Applicants initially submit a concise project description rather than a full application. |
| Oregon Clean Fuels Program | Oregon Department of Environmental Quality | State | Other | Production, import and supply of ethanol, biodiesel, renewable diesel and other low-carbon transportation fuels | Oregon fuel producers, importers and other registered fuel providers | Oregon fuel market | Rolling program participation and annual compliance reporting | Tradable credits based on fuel volume and carbon intensity; value and total incentive are variable | Official program page | In-state transportation-fuel producers and importers of ethanol, biodiesel and renewable diesel must participate. Credits can be sold, but the program does not guarantee a $50,000 return. |
| Washington Clean Fuel Standard | Washington State Department of Ecology | State | Other | Production and supply of ethanol, biodiesel, renewable diesel and other low-carbon transportation fuels | Regulated fuel suppliers and registered opt-in low-carbon fuel producers | Washington fuel market | Rolling registration; annual reporting and compliance | Tradable credits based on fuel carbon intensity and quantity; value and total incentive are variable | Official program page | Biofuels below the applicable annual carbon-intensity standard can generate credits. Participation fees apply. This is a market incentive rather than an upfront grant. |
| Low Carbon Fuel Standard | California Air Resources Board | State | Other | Production and supply of SAF, ethanol, biodiesel, renewable diesel and other low-carbon transportation fuels | Certified fuel-pathway holders, producers, importers and reporting entities supplying qualifying fuels into California | California fuel market | Rolling registration and fuel-pathway applications; periodic reporting deadlines | Tradable credits based on fuel carbon intensity and volume; total value varies | Official program page | SAF has been eligible to generate LCFS credits since the 2018 amendments. The revised benchmarks implemented in 2025 also include jet-fuel credit calculations. Revenue is market-dependent and not guaranteed to exceed $50,000. |
| Clean Transportation Fuel Program | New Mexico Environment Department | State | Other | Production or import of ethanol, biomass-based diesel, renewable diesel, renewable naphtha, biomethane and other low-carbon fuels | Businesses and organizations producing, importing or supplying qualifying transportation fuels | New Mexico fuel market, excluding Tribal lands unless participation is established by agreement | Rolling; alternative fuel-pathway applications accepted beginning July 1, 2026 | Tradable credits based on carbon intensity and fuel volume; total value varies | Official program page | The first compliance period began April 1, 2026. Temporary pathway applications are reviewed on a rolling basis. Registration and annual participation fees apply. |
| Sustainable Aviation Fuel Tax Credit | Minnesota Department of Revenue | State | Tax Incentive | Production or blending of qualifying SAF sold for aircraft departing from Minnesota airports | Taxpayers producing SAF in Minnesota or blending SAF with aviation fuel in Minnesota | Minnesota | Available for qualifying tax years, subject to annual certificate allocation and statutory funding | Refundable credit of $1.50 per qualifying gallon | Official statute | A taxpayer may claim the credit for either production or blending, but not both. SAF must be sold for use in an aircraft departing from a Minnesota airport. The benefit exceeds $50,000 at more than approximately 33,333 qualifying gallons. |
| Biofuels PACE Program | Bank of North Dakota | State | Loan/Financing | Real property, equipment, facility expansion and working capital associated with biodiesel, ethanol and green-diesel production | Qualified North Dakota biodiesel, ethanol and green-diesel production facilities; participating lenders originate the loan | North Dakota | Rolling, subject to available program funds and lender approval | Interest-rate buydown of up to $500,000 per borrower for an eligible biofuel project in a biennium | Official program page | Financing is accessed through a local participating lender. Recipients cannot also receive regular PACE or Flex PACE assistance for the same project. |
| Reinvestment Payment Program | South Dakota Governor’s Office of Economic Development | Economic Development Agency | Grant | Expansion or modernization of qualifying large capital-investment projects, including ethanol-production facilities | Qualified South Dakota businesses making eligible capital investments and meeting program requirements | South Dakota | Apply before construction or purchase commitments; board consideration occurs through scheduled funding meetings | Performance-based grant tied to reinvestment-payment eligibility and project costs; amount varies | Official program information | The program remains active: in March 2026, South Dakota approved an ethanol facility for up to approximately $1.5 million. Eligibility is project-specific and generally favors substantial capital investments rather than early-stage R&D. |
| Future Fuels Challenge | Fuel Innovation Fund | Nonprofit | Grant | Biofuel, synthetic-fuel and e-fuel production; biogenic feedstock co-processing; refinery and fuel-production emissions reduction; clean-fuel infrastructure | Canadian technology developers, regulated fuel suppliers, non-regulated entities and organizations advancing clean transportation-fuel supply | Canada | Closed/Recurring; expected spring 2027 based on the program’s stated annual competition model | $1 million–$10 million per project | Official program page | The inaugural $50 million competition launched April 22, 2026, and closed June 10, 2026. Biofuel production is expressly eligible. Future annual calls remain subject to available Clean Fuel Regulations compliance contributions. |
| Contributor Reinvestment Program | Fuel Innovation Fund | Nonprofit | Grant | Biofuel production or use, fuel switching, refinery co-processing, clean heat and power, carbon capture, process optimization and other transportation-fuel carbon-intensity reductions | Regulated primary fuel suppliers that contributed compliance payments to the Fuel Innovation Fund | Canada | Rolling | Undisclosed; project funding is generally limited by the applicant’s available contributor account and program approval | Official program page | Narrow eligibility: this is not open to general technology developers unless they qualify as regulated contributors. Projects must deliver measurable lifecycle carbon-intensity or greenhouse-gas reductions in Canada. |
| Agriculture & Environment Program | Alberta Innovates | Other | Grant | Applied R&D, technology development, demonstration and deployment involving bioenergy, biomass conversion, waste-derived fuels and circular bioindustrial technologies | Businesses, technology developers, universities, nonprofits, municipalities, public entities, researchers and other qualified applicants | Alberta; applicants may be based elsewhere but must demonstrate a clear benefit to Alberta | Rolling | Undisclosed | Official program page | Projects generally must fall within TRL 3–7. The Bioindustrial & Circular Innovation focus expressly includes bioenergy, biomass and waste-stream conversion. Applicants must contact a program adviser before submitting an expression of interest. |
| Sustainable Aviation Fuel Tax Credit Program | Iowa Economic Development Authority | State | Tax Incentive | Production of SAF in Iowa from qualifying Iowa-processed or Iowa-refined feedstock | Eligible businesses producing qualifying SAF in Iowa and entering into an agreement with IEDA | Iowa | Applications available beginning July 1, 2026; qualifying production through December 31, 2035 | Refundable credit of $0.25 per qualifying gallon; up to $1 million per business per calendar year | Official program listing | Feedstocks may include ethanol, corn oil, soybean oil, animal fats, used cooking oil and algae. Combined annual authorization with Iowa’s renewable-chemical credit is $10 million. |
| Sustainable Aviation Fuel Purchase Credit | Illinois Department of Revenue | State | Tax Incentive | Purchase of SAF by air carriers for use in Illinois | Air common carriers purchasing qualifying SAF for use in Illinois; sellers and producers participate through required certifications | Illinois | Available through December 31, 2032 | $1.50 per whole gallon of qualifying SAF purchased | Official program page | This is a purchaser-side credit rather than a direct producer award. The benefit exceeds $50,000 at 33,334 qualifying gallons. State sales or use tax limitations and certification requirements apply. |
| Sustainable Aviation Fuel Tax Credit | Nebraska Department of Revenue | State | Tax Incentive | Production and sale or use of qualifying SAF mixtures | Producers of qualifying SAF subject to eligible Nebraska income, premiums or franchise taxes | Nebraska | Future cycle: applications begin July 1, 2027; credit applies to tax years beginning January 1, 2027 | $0.75 per gallon plus $0.01 for each percentage point of lifecycle emissions reduction above 50%, up to an additional $0.50 per gallon | Official legislative-change page | Nonrefundable credit. Maximum rate is $1.25 per qualifying gallon. An applicant would need at least 40,000 gallons at the maximum rate, or approximately 66,667 gallons at the base rate, to reach $50,000. |
| Sustainable Aviation Fuel Production Facility Credit | Colorado Energy Office | State | Tax Incentive | Construction, reconstruction or installation of SAF production and directly related distribution facilities | Colorado taxpayers that are aviation businesses, SAF producers or airports constructing qualifying facilities | Colorado | Available for qualifying facilities placed in service during tax years 2024–2032 | Refundable credit equal to 30% of qualified costs for construction beginning in 2024–2026; 24% in 2027; 18% in 2028; and 12% in 2029–2032, subject to annual statewide caps | Official state program review | Annual statewide certificate authority is $2 million in 2025 and 2026 and $3 million annually in 2027–2032. Facilities must generally maintain at least 60% SAF production or distribution for three consecutive years to avoid recapture. |
| Advanced Biofuel Production Incentive Program | Minnesota Department of Agriculture | State | Other | Commercial-scale production of qualifying advanced biofuels from cellulosic biomass, sugar or starch | Minnesota production facilities meeting minimum production, feedstock, operating-date and RFS-related requirements | Minnesota | Undisclosed; payments are available to qualified enrolled producers while appropriated funding remains | $2.1053 per MMBtu-equivalent from cellulosic biomass and $1.053 per MMBtu-equivalent from sugar or starch; annual eligible production capped at 2.85 million MMBtu-equivalent per producer | Official program page | Facility must meet a quarterly production threshold of 23,750 MMBtu-equivalent. This is primarily useful to existing qualifying facilities; new facilities that missed the program’s statutory commencement deadline may be ineligible. |
| Project Acceleration – FEED Funding | Canada Infrastructure Bank | Other | Loan/Financing | Front-end engineering and design for large clean-fuel and other energy-transition infrastructure projects | Private-sector project sponsors with Canadian projects that are sufficiently ready to enter FEED and have a credible path to final investment decision | Canada | Rolling/contact-driven | Financing amount undisclosed; part of a $500 million project-acceleration allocation | Official program page | Clean fuels are explicitly eligible. Best suited to large, commercially oriented SAF or biofuel facilities with low aggregate technology risk, long development timelines and a clear commercial proposition. |
| Clean Industry Fund | British Columbia Ministry of Energy and Climate Solutions | Province | Grant | Industrial emissions-reduction equipment, clean-technology pilots and demonstrations, and related feasibility or engineering studies | B.C. regulated industrial operations and eligible project partners | British Columbia | Closed/Recurring; expected spring 2027 based on the 2025 and 2026 intake pattern | Emissions Performance stream: up to the lesser of $10 million or 50% of eligible expenses; other streams have stream-specific cost-share limits | Official program page | Biofuel or SAF projects are not automatically eligible; the project must reduce emissions at a covered B.C. industrial operation. The 2026 Emissions Performance, Innovation Accelerator and Feasibility Studies streams closed between May 22 and June 26, 2026. |
| Renewable Energy Program | North Dakota Industrial Commission | State | Grant | Biofuel and advanced-biofuel research, development, demonstration, commercialization, marketing and related industrial-use technology | Businesses, universities, research organizations, public entities and other qualified project sponsors capable of providing matching funds | North Dakota; project must advance or use North Dakota renewable-energy resources or provide a material state benefit | 1-Aug-26 | Amount varies; recent individual requests and awards have reached $500,000, with $1 million awarded across the March 2026 grant round | Official program page (North Dakota Industrial Commission) | Biofuels and advanced biofuels are expressly eligible. Dollar-for-dollar non-state matching funds are generally required. Strong fit for FEED, pilot, demonstration and commercialization projects rather than routine facility operations. |