USDA: More than 1200 jobs could be added in Ashtabula by 2014
Wednesday, June 15, 2011
U.S. Rep. Steven C. LaTourette (R-Bainbridge Township) says the
Department of Agriculture will establish a new Biomass Crop
Assistance Program (BCAP) project area based out of Ashtabula
County where the project sponsor, Aloterra Energy LLC, will locate
a biomass conversion facility at the Port of Ashtabula.
The project area goal is to establish 50,000 acres of the
miscanthus energy crop by 2014. With today's announcement,
$5.7 million has been allocated for the project for 2011 to enroll
almost 5,400 acres Ashtabula, Geauga, Lake, and Trumbull counties
in Ohio, and Crawford, Erie, and Mercer counties in
Pennsylvania. The project involves using the 50,000
acres to grow giant miscanthus, a sterile hybrid warm-season grass
that can be converted into energy to be used for heat, power,
liquid biofuels, and bio-based products. The perennial grass
is non-invasive, drought and pest resistant, and needs less
fertilizer than food crops, which translates into less run-off into
the region's water systems.
"Landowners who want to participate in this program should call
or visit their local Farm Service Agency office or contact
Aloterra," LaTourette said. "I have been working with
Aloterra and USDA and pushing hard to get Ashtabula into this crop
assistance program. If this program succeeds as I expect it to, the
area could gain more than 1,200 jobs, help farmers and landowners
and have Ashtabula become a Green Hub under USDA."
Each of the four project areas announced today and their
conversion facilities could earn about $50 million annually, and it
is estimated that 1,210 jobs will be created from the Ashtabula
project, including biorefinery, agricultural and support
jobs. LaTourette said Ashtabula stands to gain more jobs than
the other three project sites -- one in Arkansas and two in
Missouri.
The Agriculture Department said the yield for the grass can be
10-12 tons of dry matter per acre. The BCAP crop assistance
program provides incentives to "eligible agriculture producers to
establish dedicated energy crops that will be used for production
of heat, power, liquid biofuels or bio-based products." USDA
will approve the acreage in Ashtabula, Lake, Geauga and Trumbull
counties that is eligible for the project.
"This is a big win for Ashtabula County," LaTourette
said. "It's a pleasure to announce the arrival of jobs rather
than the departure of jobs."
LaTourette said the sign-up period for the Ashtabula BCAP
project begins on Monday, June 20, and the allocation to plant the
5,400 acres will be determined on a first come, first serve
basis. The deadline to sign up is September 1, 2011.
Crop producers in this area should contact Aloterra and the FSA to
enroll acres into the BCAP project area, and those selected are
eligible for reimbursements of up to 75% of their costs to
establish a perennial crop.
The BCAP program will also provide 5 years of annual
payments on the acres enrolled in the program and provide matching
payments of up to $45/ton for two years on the harvested biomass,
LaTourette said. Aloterra already has some local landowners
who have committed to grow giant miscanthus. Those who want
to contact Aloterra to learn more about the program or participate
in it should contact Scott Coye-Huhn at scoyehuhn@aloterraenergy.com
or 440-666-2053.
Here is contact information for local FSA offices:
The FSA office in Ashtabula County covers Ashtabula, Lake and
Geauga counties. It is located at 33 Grand Valley Ave.
in Orwell. The phone number is (440) 437-6330.
There is also an FSA office in Trumbull County that can be
reached at (330) 637-2046. The FSA office in Columbus can be
reached at (614) 255-2441.
For more information about the BCAP program, visit www.fsa.usda.gov/bcap.