The Departments of Agriculture, Energy and the Navy have entered a three-year partnership with the private sector to spur production of biofuels, President Barack Obama announced Tuesday.
The departments will invest up to $510 million to help produce drop-in aviation and marine biofuels to power both military and commercial transportation. The biofuels can be used with existing fuels to power military and commercial vehicles.
The partnership is in response to a directive Obama issued in March, part of the administration’s framework to reduce dependence on foreign oil. The U.S. imports more than $300 million in crude oil annually.
Obama said the government has a role to play in reducing dependence on foreign oil, but it cannot do it alone.
“That’s why we’re partnering with the private sector to speed development of next-generation biofuels that will help us continue to take steps towards energy independence and strengthen communities across our country,” Obama said.