Governor Ernie Fletcher’s Communications Office
Biodiesel Grant Awarded to Expand Market in Kentucky

Press Release Date:  Tuesday, April 10, 2007  
Contact Information:  Jodi Whitaker

John Davies

FRANKFORT, Ky. – Grant funding from the Governor’s Office of Energy Policy will help expand the use of biodiesel in eastern, central and southeastern Kentucky.

A $25,000 grant has been awarded to Bertram Oil Company of Monticello and to Kentucky Petroleum Supply of Winchester. The grant will be administered by the Kentucky Clean Fuels Coalition (KCFC) – a non-profit organization based in Louisville. In selecting grant recipients, KCFC coordinated with the Center for Rural Development in Somerset to identify strategic locations for biodiesel storage and distribution projects in central and eastern Kentucky.

“Expanding the use of biodiesel is a step we can take to reduce our dependence on imported fuel,” said Governor Fletcher. “Use of renewable and cleaner fuels is good policy today and produces a more stable and secure economic environment for tomorrow.”

“The grant will enable both fuel providers to purchase storage and distribution equipment for biodiesel and deliver it to customers in a region of Kentucky that was lacking in biodiesel availability,” said Melissa Howell, KCFC executive director. Bertram and KPS together will deliver fuel to 18 additional counties that have been unable to get biodiesel.  Freight charges raise the price of the biodiesel when it has to be purchased from great distances.

Bertram and KPS will supply biodiesel to individuals, small fleet operations and large fleets such as Vulcan Materials and other mining operations in the area.

“Our goal is to educate the consumer to the fact that the extra penny or two paid for a renewable fuel today will provide future generations a cleaner and less dependent Kentucky,” noted George Stamper, president of KPS.

Biodiesel is an additive to traditional diesel fuel.  It is primarily made from vegetable oils and animal fats.  Kentucky currently has two biodiesel production plants, Griffin Industries in Butler and Union County Biodiesel.  Owensboro Grain currently has a 50 million gallon production plant under construction with a June operational date targeted.

Efforts to promote the production, consumption and availability of biodiesel meet goals outlined in Governor Fletcher’s comprehensive energy strategy, Kentucky’s Energy – Opportunities for our Future, issued in February 2005. The strategy contains 54 recommendations to guide the Commonwealth’s energy policy and programs. Governor Fletcher’s comprehensive energy strategy can be found at the KOEP’s Web site: