WASHINGTON, Dec. 21, 2004 - The U.S. Department of Agriculture and U.S. Department of Energy (DOE) today announced the availability of up to $15 million in grants to support President Bush's energy plan to develop renewable energy and expand the economic prospects and environmental benefits of biomass.

"Our nation can benefit greatly from the conversion of biomass into biobased products, fuels and energy," Agriculture Secretary Ann M. Veneman said. "Biomass use strengthens rural economies, decreases America's dependence on foreign energy supplies, reduces air and water pollution and reduces greenhouse gas emissions. These grants will help fund important research projects."

Through the Biomass Research and Development Initiative, these grants are available to eligible entities to carry out research, development and demonstrations on biobased products, bioenergy, biofuels, biopower and related processes.

The USDA Natural Resources Conservation Service, on behalf of USDA and DOE, is requesting proposals for biomass research, development and demonstration projects. The solicitation package (USDA-GRANTS-67-3A75-5-22) was posted on the federal funding opportunities website at http://www.Fedgrants.gov on Dec. 17, 2004, and in more detail at http://www.bioproducts-bioenergy.gov.

Pre-applications for this joint solicitation must be submitted by Feb. 15, 2005, to USDA-NRCS, Management Services Division, P.O. Box 2890, Washington DC 20013-2890, Attn: Sheila Leonard. Approximately 400 applications were submitted for this solicitation in both fiscal years 2003 and 2004.

Eligible applicants include private sector entities, institutions of higher education, nonprofit organizations, national laboratories, federal and state research agencies and consortiums consisting of two or more of these entities. Grants will be awarded competitively based on technical merit and program priorities identified in the solicitation package.

For this solicitation, a minimum nonfederal share of 20 percent of the total project cost is required. The federal share of each grant is expected to range from $250,000 to $2 million, with the work proposed to be completed within a three-year timeframe.

Information on energy and agriculture is available at http://www.usda.gov/energy.