The US Department of Energy (DOE) in October conditionally committed nearly $3 billion to two companies to scale up the production of sustainable jet fuel made from crops, vegetable oils and animal fats. Gevo in Englewood, Colorado, could receive a loan guarantee of nearly $1.5 billion to build a new jet fuel refinery in Lake Preston, South Dakota. And Montana Renewables could receive about the same amount to expand its existing biofuels facility at its headquarters in Great Falls, Montana. To receive the loans, the companies must meet various technical, legal, environmental and financial conditions.

The DOE’s pledge represents an unprecedented amount of federal support for the sustainable aviation fuel (SAF) sector and follows the Biden–Harris administration’s goal of increasing SAF production to three billion gallons per year by 2030. The US currently produces about 30 million gallons of SAF per year.