Previously run as a pilot program, the BCAP will pay incentives to owners and operators of forest and agricultural lands to produce new sources of biomass materials for energy production and avoid diverting those materials from existing markets. The program was officially implemented late last month.

The BCAP includes two major components. First, producers of eligible biomass materials may qualify to receive matching payments from the USDA for product sold over a two-year period to a qualified biomass conversion facility that converts renewable biomass into power, heat or biofuel.

These matching payments are intended to provide an incentive for agricultural and forest land owners and operators to sell biomass materials for energy usage that otherwise would have gone unused.

Second, agricultural and forest land owners and operators can qualify to be reimbursed for up to 75 percent of the cost of establishing or switching to eligible woody and non-woody perennial crops as well as annual payments for up to 15 years for the production of eligible woody perennial renewable biomass crops.

"Woody biomass is the source that is planned for use in generating electricity in National Clean Fuels' Port Gibson plant by gasifying sawdust and woodchips to power a massive turbine," said NACF Chairman Maurice Stone.

"Federal incentives such as the BCAP as well as state biomass incentives from the state of Mississippi should help make the biomass-to-electricity plant a profitable endeavor for National Clean Fuels and our allied companies."

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