The payments will support the production and expansion of advanced bio-fuels from a wide variety of non-food sources and waste products.

Speaking of the payments Agriculture Secretary Tom Vilsack said, "These payments represent help spur an alternative fuels industry using renewable feedstock grown in America, broadening the range of feedstock options available to bio-fuels producers, helping to create an economy built to last."

The payments are part of USDA’s Bio-energy Program for Advanced Bio-fuels, for producers using renewable biomass, other than corn kernel starch.

USDA thoughts various programs supports the research, investment and infrastructure necessary for the development of bio-fuels.