The investments will be made through the joint partnership, Biomass Research and Development Initiative (BRDI), to 13 projects.
Speaking on the investments Energy Secretary Steven Chu said that the US government was working towards efficient, cost-competitive technologies to produce and secure US energy.
"The investments announced today are helping to accelerate innovation across America’s growing biofuels industry, which will help to reduce our dependence on imported oil and support job creation across rural America," said Chu.
"If we want to develop affordable alternatives for oil and gasoline that will help reduce our dependence on foreign oil, we need investments like these projects to spur innovation in bioenergy," added Agriculture Secretary Tom Vilsack.
