Funds available for blender pumps

PIERRE, S.D. - Eligible retail fuel stations may qualify for up to $10,000 per pump to help defray the cost of installing blender fuel pumps as part of the South Dakota Ethanol Blender Pump Incentive Grant Program, Governor Mike Rounds announced today.

The program is funded with money allocated to the State of South Dakota through the American Recovery and Reinvestment Act (Stimulus). This program is a result of HB 1192, which was passed by the 2010 SD Legislature and signed by Gov. Rounds.

“I’m looking forward to getting this program up and running,” said Gov. Rounds. “Installing blender pumps is a great opportunity for South Dakota to increase the availability of homegrown renewable fuel to citizens. It is also a great opportunity for retail fuel stations to update some of their pumps.”

A blender pump is a filling station fuel dispenser that allows consumers to select the desired blend of gasoline and ethanol. Typically, at ethanol blender pumps, consumers should be able to choose between a variety of blends such as E10, E15, E20, E30, E85, and even ethanol-free gasoline.

“These pumps will allow us to maximize the use of ethanol in our vehicles to obtain the best efficiency possible,” Gov. Rounds said.

Several studies have shown that mid-level blends of ethanol can improve the fuel efficiency of vehicles.

The funds may only be used for fuel dispensers and the associated hardware. Storage tanks, either above or below ground, and other infrastructure items are not eligible.

The grants will be awarded from April 1 to May 28. The funds, which total $1 million, will be provided on a first-come, first served, reimbursement basis. Proper supporting documentation is required. Projects must be completed and reimbursement must be requested by December 2010.

“The increase of blender pumps in South Dakota will be a great boost to both the state and the nation when it comes to energy security,” said Hunter Roberts, state Energy Policy Director. “I would encourage any interested retailer to apply.”

For more information and for application documents, please visit http://www.sdreadytowork.com/blender_pumps.aspx. Questions regarding the South Dakota Ethanol Blender Pump Incentive Grant Program should be addressed to Roberts at 605-773-3301.

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Links:

• South Dakota Governor's Office of Economic Development
• South Dakota Department of Tourism and State Development