Chris Holliday has more pastureland than he needs for his cows—335 acres to be exact. So when USDA introduced a way to use that land to help create clean energy while reducing U.S. dependence on foreign oil, he saw it as an opportunity.
“I thought it was a good idea and I had a good feeling about it,” said Holliday, owner of Holliday Investment in Prairie Home, Mo. He is one of several farmers that signed up acreage in the Biomass Crop Assistance Program, or BCAP, last year. All 335 acres will be used to plant Miscanthus, a giant perennial grass that can be processed into a biofuel.
The USDA incentive greatly reduces farmers’ expenses to finance the planting, harvesting and delivery of the Miscanthus for processing. BCAP pays farmers up to 75 percent of the planting costs and offers an annual rental payment while producers wait for the crop to mature, which takes about three years.