The collaboration is aimed at increasing the annual production capacity to 1 billion gallons of drop in aviation bio-fuel by 2018. The agreement also includes private aviation firms.
Agriculture Secretary Tom Vilsack and Transportation Secretary Ray LaHood signed the agreement on the sidelines of Advanced Biofuels Summit held at Gaylord National Harbor, Maryland.
The new development follows the three-year agreement USAD and FAA had inked in October 2010 to develop aviation fuel from renewable feedstocks.
Commenting on the occasion, Agriculture Secretary Tom Vilsack remarked that the partnership would continue to work towards development of American made feasible bio-fuel to meet the aviation fuel needs, thereby reducing the nation’s dependency on foreign fuels.
"USDA is pleased to partner with the FAA in our quest to develop alternatives to fossil-based fuel, which is critical to reducing carbon emissions and protecting the environment," added Vilsack.
The extension of partnership between the two parties is on the lines with federal administration’s strategy to further the development of clean energy technology, besides encouraging energy independence.
Earlier in 2010 – 2012, Obama’s government has formulated ‘Farm to Fly’ program built upon the USDA’s Regional Biomass Research Centers developing an advanced bio-fuels industry.
Transportation Secretary Ray LaHood, meanwhile, added: "In his State of the Union Address, President Obama called on us to work together to reduce carbon emissions – developing these alternative jet fuels will do just that, while creating jobs and helping airlines save money on fuel.
"Through the use of sustainable alternative jet fuels, we are showing the world that we can come together to solve our greatest environmental challenges," noted LaHood.