To receive incentive payments for production that uses agricultural cellulosic biomass as feedstock, an “agricultural cellulosic biomass sourcing plan” is required. This plan is meant to ensure that the harvest of biomass feedstock does not harm the environment. All three of the production incentive programs—Advanced Biofuels, Renewable Chemicals, and Biomass Thermal—require agricultural cellulosic biomass sourcing plans. Sourcing plans for the Advanced Biofuels program have additional requirements that do not apply to the Renewable Chemicals or Biomass Thermal programs.
All sourcing plans must include:
Additional requirements apply to sourcing plans for the Advanced Biofuels Production Incentive Program, aimed at ensuring that adequate soil organic matter is maintained on agricultural fields where biomass is harvested.
For all three programs, an annual report on the responsible biomass sourcing plan must be submitted by January 15 of each year. The report must include data on progress made in meeting specific goals laid out in the plan. The plan will be posted on the Minnesota Department of Agriculture’s (MDA’s) web site. An annual review of the report will be performed and a determination will be made as to whether the producer is following their sourcing plan. Steps may be taken, including reducing or ceasing payments, until the producer is in compliance with the plan.
Further guidance on agricultural cellulosic biomass sourcing plans is being developed and will be available on this website soon.