California Bioenergy Awarded $3 Million for Dairy Digester Cluster Project

BAC member California Bioenergy LLC (“CalBio”) announced today that The California Energy Commission (CEC) has approved grant funding for CalBio’s facility that will turn dairy biogas into renewable natural gas (RNG) for transportation.

At its April meeting, the CEC approved a $3.05 million grant to assist CalBio construct its Kern Dairy Cluster Biomethane Upgrading Facility. Funding came from the CEC’s Alternative and Renewable Fuel and Vehicle Technology Program, which invests in advanced alternative and renewable fuels and vehicle technologies.  According to the CEC, the California Environmental Quality Act (CEQA) findings showed that the company’s proposed project presents no new significant or substantially more severe environmental impacts beyond those already considered and mitigated.

CalBio will build and operate a centralized biomethane upgrading facility, which will clean biogas from several existing and new dairy digesters located within CalBio’s Kern County dairy cluster and inject the biomethane into the SoCalGas pipeline.  The project is expected to initially produce 500,000 diesel gallon equivalents of RNG per year and will scale several fold over the next few years.  The dairy sourced biomethane will be used to fuel heavy-duty compressed natural gas trucks and buses.

“CalBio’s dairy digesters are proven in California.  With this upgrading facility dairy biomethane will be injected into the utility pipeline and sold as renewable compressed natural gas (R-CNG) vehicle fuel.  This will generate a significant new revenue stream for the dairy ” said Ross Buckenham, CalBio’s CEO.  “This financial support from the CEC is helping us, and our dairy farmer partners, build the first dairy R-CNG facility in the State.” he added.

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