WASHINGTON (Reuters) - The Pentagon is pushing ahead with a $420 million effort to build refineries to make competitively priced biofuels, despite anger in Congress over the price the Navy paid for alternative fuel to test a carrier strike group this month.
The government plans provide $210 million in matching funds to help firms build three refineries, each able to produce at least 10 million gallons of biofuel a year for military jets or ships, according to documents released this week. The Navy would supply $170 million and the Energy Department $40 million.