BCAP

BCAP (Biomass Crop Assistance Program) was established in the 2008 Farm Bill to provide incentives for the establishment and cultivation of biomass crops to be utilized for heat, power, and biofuels.

In late October 2010, the U.S. Department of Agriculture (USDA) announced revised rules to govern the BCAP.

The updated rule language was intended to make the BCAP program more efficient and ensure that incentive payments are helping to develop bioenergy markets. The rule provides matching payments for the harvest, collection, and transportation of biomass to biomass conversion facilities. The rule also provides landowners with payments to establish bioenergy crops and up to five years of annual payments for grassy crops and up to 15 years of annual payments for woody crops. The USDA estimates the total expenditures for BCAP at $461 million over the next 15 years.