The Agricultural Biorefinery Innovation and Opportunity Act of 2025 expands federal assistance for companies developing advanced biofuels, renewable chemicals, and biobased products by amending existing farm policy. The bill maintains the existing loan guarantee program for biorefinery projects while adding a new competitive grant program specifically for pilot and demonstration-scale facilities that prove the commercial viability of converting biomass into these products. Eligible entities—including farmer cooperatives and producer associations—must provide at least 40 percent of project costs, with grants capped at 60 percent of total expenses. The legislation prioritizes projects that use new feedstocks, employ innovative processes, support rural economic development, and demonstrate environmental benefits and commercial scalability. The bill allocates $100 million annually from fiscal years 2026 through 2030 for both loan guarantees and grants, extending the program's authorization through 2030.
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