§ 7546. Renewable fuel
(a)
Definitions
In this section:
(1)
Municipal solid waste
The term “municipal solid waste” has the meaning given the term “solid waste” in section
6903 of this title.
(2)
RFG State
The term “RFG State” means a State in which is located one or more covered areas (as defined in section
7545
(k)(10)(D) of this title).
(b)
Cellulosic biomass ethanol and municipal solid waste loan guarantee program
(2)
Demonstration projects
(A)
In general
The Secretary shall issue loan guarantees under this section to carry out not more than 4 projects to commercially demonstrate the feasibility and viability of producing cellulosic biomass ethanol or sucrose-derived ethanol, including at least 1 project that uses cereal straw as a feedstock and 1 project that uses municipal solid waste as a feedstock.
(3)
Applicant assurances
An applicant for a loan guarantee under this section shall provide assurances, satisfactory to the Secretary, that—
(4)
Limitations
(A)
Maximum guarantee
Except as provided in subparagraph (B), a loan guarantee under this section may be issued for up to 80 percent of the estimated cost of a project, but may not exceed $250,000,000 for a project.
(5)
Equity contributions
To be eligible for a loan guarantee under this section, an applicant for the loan guarantee shall have binding commitments from equity investors to provide an initial equity contribution of at least 20 percent of the total project cost.
(6)
Insufficient amounts
If the amount made available to carry out this section is insufficient to allow the Secretary to make loan guarantees for 3 projects described in subsection (b) of this section, the Secretary shall issue loan guarantees for one or more qualifying projects under this section in the order in which the applications for the projects are received by the Secretary.
(c)
Authorization of appropriations for resource center
There is authorized to be appropriated, for a resource center to further develop bioconversion technology using low-cost biomass for the production of ethanol at the Center for Biomass-Based Energy at the Mississippi State University and the Oklahoma State University, $4,000,000 for each of fiscal years 2005 through 2007.
(d)
Renewable fuel production research and development grants
(1)
In general
The Administrator shall provide grants for the research into, and development and implementation of, renewable fuel production technologies in RFG States with low rates of ethanol production, including low rates of production of cellulosic biomass ethanol.
(2)
Eligibility
(A)
In general
The entities eligible to receive a grant under this subsection are academic institutions in RFG States, and consortia made up of combinations of academic institutions, industry, State government agencies, or local government agencies in RFG States, that have proven experience and capabilities with relevant technologies.
(e)
Cellulosic biomass ethanol conversion assistance
(1)
In general
The Secretary may provide grants to merchant producers of cellulosic biomass ethanol in the United States to assist the producers in building eligible production facilities described in paragraph (2) for the production of cellulosic biomass ethanol.
[1] See References in Text note below.
[2] So in original.