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Energy Department announces $30 million in biofuels research funding

The Energy Department is accepting applications to dole out up to $30 million in funding for projects that support the development of advanced biofuels, Energy Secretary Steven Chu announced Wednesday.

"Developing the next generation of American biofuels will enhance our national energy security, expand the domestic biofuels industry, and produce new clean energy jobs," Chu said in a statement.

He explained investing in innovation and technology will provide opportunities for wealth and job creation in rural communities and grow America's clean energy economy.

Funded projects will focus on improving technologies for converting biomass into biofuels and bioproducts to be eventually used for hydrocarbon fuels and chemicals.

This comes as the biofuels industry watches biofuels tax incentives arduously make their way through the Senate and House tax packages, with opponents saying that extending the subsidy is far too costly for taxpayers.

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