REAP provides assistance to biofuels plants, either for construction of new plants or for efficiency improvements to existing plants. New biofuels projects typically are smaller biodiesel or specialized biofuels projects that involve the production of liquid fuels from biomass, such as energy crops, soybeans, and other crops or resources.

Eligible ethanol plants seeking to improve process efficiency can also receive grants and loan guarantees. These plants would qualify as “rural small businesses” and more information may be found at our REAP Frequently Asked Questions for Rural Small Business.

In 2008 Congress boosted the maximum loan guarantee for REAP projects up to $25 million per project, so more biofuels projects are likely to apply for REAP funds in the future.  The addition of support for stand-alone feasibility studies can also help ethanol companies evaluate converting their fossil fuel boilers to biomass.