On Wednesday, US Energy Secretary Steven Chu announced that $80 million of stimulus money will be invested in advanced biofuels and fueling infrastructure. The funds will be divided between a few different projects and consortia with the intent of developing a more sustainable transportation system.

Of the $80 million, $44 million will go to the National Alliance for Advanced Biofuels and Bioproducts. The group is looking to develop and commercialize the process of making algae-based biofuels, from harvesting and extraction to production of renewable gasoline, diesel, and jet fuel. They will integrate resources from companies, national labs, and universities to keep the R&D costs low.

The National Advanced Biofuels Consortium will receive $33.8 million to fund its research of biomass-based hydrocarbon fuels. The main goal of the project is to make the biofuel production process as compatible as possible with existing refining and production equipment. The NABC hopes to develop a pilot-ready demonstration that accounts for the whole life cycle of the fuels.

Of the couple of million dollars remaining, $1.6 million will go towards expanding the availability of ethanol blends to existing fuel retailers. The money distributed to the NAABB and NABC is being matched by $19 million of various private and non-federal funds, and the ethanol blend funds are receiving match funds of $3.9 million.