Updated March 24, 2022
Farm Bill Primer: Energy Title
Omnibus farm bills have been enacted periodically to
7 U.S.C. §8114: Sun Grant Program; and
address agricultural and food programs. The most recent
7 U.S.C. §8115: Carbon Utilization and Biogas
farm bill—the Agriculture Improvement Act of 2018 (P.L.
Education Program.
115-334; 2018 farm bill)—contains 12 titles, including Title
IX Energy. The 2018 farm bill is the fourth farm bill to
Of the 11 reauthorized activities, seven programs and one
contain an energy title. In preparation for another farm bill,
initiative were amended under the 2018 farm bill (§8102,
Congress may examine funding and oversight of the energy
§8103, §8105, §8107, §8107a, §8108, §8111, and §8113),
title programs as well as (1) the effect of related efforts
and three programs generally were unchanged (§8106,
provided under non-agriculture legislation (e.g., the
§8110, and §8114). For more discussion of the energy title
Renewable Fuel Standard (RFS)), (2) market activity for
programs, see CRS In Focus IF10288, Overview of the
conventional energy (e.g., the price of oil), and (3)
2018 Farm Bill Energy Title Programs, by Kelsi Bracmort.
legislative proposals to address climate change (e.g., Build
Back Better Act or H.R. 5376).
Energy Title Funding
Like previous bills, the 2018 farm bill addresses funding for
This In Focus summarizes the 2018 farm bill energy title,
Title IX programs. The five-year FY2019-FY2023 total
energy title funding for the last four farm bills, legislative
mandatory funding and the total discretionary funding
support for agriculture-related energy, and legislative issues
authorized to be appropriated are $375 million and $1.7
as background and context for upcoming discussions about
billion, respectively (see Error! Reference source not
authorizing another farm bill. This In Focus reviews all
found.). The mandatory funding for the energy title
sections of 7 U.S.C. Ch. 107 Renewable Energy Research
comprises approximately 0.1% of the Congressional Budget
and Development, including sections enacted under other
Office’s 2018 farm bill total mandatory program estimate of
titles of the 2018 farm bill.
$428 billion over the same five-year period.
2018 Farm Bill Energy Title
Figure 1.Energy Title Funding in 2002-2018 Farm Bills
The 2018 farm bill energy title primarily focuses on support
(in millions of dol ars)
for renewable energy—particularly agriculture-related
energy—as well as energy efficiency and bioproducts (e.g.,
bio-based cleaning supplies). The 2018 farm bill authorizes
12 energy programs and initiatives. This total includes
reauthorization of 11 activities and establishment of 1 new
program—the Carbon Utilization and Biogas Education
Program. Further, the law repeals one program and one
initiative—the Repowering Assistance Program and the
Rural Energy Self-Sufficiency Initiative, respectively. The
12 authorized programs and initiative are:
Source: CRS Report R45943, The Farm Bil Energy Title: An Overview
7 U.S.C. §8102: Biobased Markets Program;
and Funding History, by Kelsi Bracmort
Notes: Mandatory funding for the 2002 farm bil covered a six-year
7 U.S.C. §8103: Biorefinery, Renewable Chemical, and
period, whereas the other farm bil s covered a five-year period.
Biobased Product Manufacturing Assistance (Program);
7 U.S.C. §8105: Bioenergy Program for Advanced
Mandatory funding for the energy title has varied in each
Biofuels;
bill—with the largest amount, approximately $1 billion
7 U.S.C. §8106: Biodiesel Fuel Education Program;
over five years, provided in the 2008 farm bill (P.L. 110-
246). Mandatory funding has declined in each farm bill
7 U.S.C. §8107: Rural Energy for America Program
since. Under the 2018 farm bill, five programs receive
(REAP);
mandatory funding, fewer than before. The §8103 and
7 U.S.C. §8107a: Rural Energy Savings Program;
§8107 programs combined constitute close to 87% of the
7 U.S.C. §8108: Biomass Research and Development
total mandatory funding in Title IX.
(Initiative);
Discretionary funding increased over the last three farm
7 U.S.C. §8110: Feedstock Flexibility Program for
bills. Under the 2018 farm bill, discretionary funding is
Bioenergy Producers;
authorized for all but one of the energy title programs—the
7 U.S.C. §8111: Biomass Crop Assistance Program;
§8110 program. For those programs that may receive both
7 U.S.C. §8113: Community Wood Energy and Wood
mandatory and discretionary funding, the discretionary
Innovation Program;
funding amount authorized is almost equivalent to or
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Farm Bill Primer: Energy Title
exceeds the mandatory funding amount. However, thus far,
Legislative Issues
total discretionary funding under the 2018 farm bill has
With the enacted 2018 farm bill, and as Congress prepares
been lower than the amounts authorized to be appropriated.
for another farm bill, Congress may assess agriculture-
Four programs have received discretionary funding under
related energy in at least three domains—agriculture, the
the 2018 farm bill: §8107, §8107a, §8113, and §8114.
environment, and economic development. Potential issues
for Congress include (1) the amount (if any) of
Agriculture-Related Energy
discretionary funding to provide in annual appropriation
Agriculture-related energy is defined, for the purposes
laws for 2018 farm bill energy title programs, (2) if and
herein, as energy derived from agricultural or forestry
how agriculture-related energy will be a part of any
feedstocks (e.g., crops, woody biomass, food waste,
potential legislative discussion about climate change and
manure). Agriculture-related energy—commonly named
the U.S. energy portfolio, and (3) what if any impact the
bioenergy—may be in the form of liquid transportation
energy title programs have on other legislative efforts (e.g.,
fuels, electric power, or heat. The most prevalent form is
the RFS, tax extenders for several programs).
ethanol—a liquid fuel commonly blended with gasoline for
use in motor vehicles.
There are a few points specific to the energy title programs
that Congress may consider when addressing the three
There are opportunities and challenges associated with
aforementioned issues. First, many of the energy title
bioenergy production. Bioenergy often is viewed as
programs lack a budget baseline—a projection at a
renewable and as having fewer detrimental environmental
particular point in time of what future federal spending on
effects than conventional energy. Disagreement exists about
mandatory programs would be under current law. Thus, a
the environmental effect of certain types of bioenergy (e.g.,
re-authorization of some of the energy title programs in the
greenhouse gas emission impacts of cornstarch ethanol,
2018 farm bill could be scored as new mandatory spending
land-use changes, water quality impacts). Some view
and may require budgetary offsets to pay for it (e.g., in a
bioenergy as having the potential to stimulate economic
future farm bill).
development in rural areas. However, there can be
limitations—primarily infrastructure and economic—to the
Second, in the past, there has been minimal discretionary
production, distribution, and consumption of bioenergy.
funding provided for energy title programs. Going forward,
some may assert that Congress does not need to provide
Legislative Support for Agriculture-
discretionary funding because some of the energy title
Related Energy
programs receive mandatory funding. Others may contend
Congress has supported agriculture-related energy for close
that the programs cannot be fully effective if Congress does
to 40 years through energy, agriculture, and tax laws. One
not appropriate the discretionary funding.
of Congress’s initial measures to support agriculture-related
energy was the Energy Security Act of 1980 (P.L. 96-294).
Third, the relationship between other policy mechanisms
This act established a biomass energy program, including
(e.g., consumption mandates, tax incentives) and the energy
an Office of Alcohol Fuels within the Department of
title programs remains an issue. The focus of the
Energy, a municipal waste biomass energy program, and
agriculture-related energy discussion has centered on liquid
several initiatives for forestry energy. Congress created an
transportation fuels (i.e., cornstarch ethanol, cellulosic
energy title in the 2002 farm bill (P.L. 107-171), which
ethanol). Energy policy and tax policy have maintained this
assisted farmers with purchasing renewable energy systems
focus with the RFS and certain tax credits (e.g., biodiesel
and increasing energy efficiency. Congress established tax
tax incentive) and former ethanol tax credits. Congress may
incentives for biofuels, including the Volumetric Ethanol
debate whether continued support for liquid transportation
Excise Tax Credit (which expired in 2011) and the
fuels is necessary via non-agriculture legislation and
Biodiesel Tax Credit (which expires at the end of 2022) in
relative to the development of electric vehicles.
the American Jobs Creation Act of 2004 (P.L. 108-357).
This legislation was followed by the Energy Policy Act of
Lastly, supplies of domestic oil and natural gas, along with
2005 (P.L. 109-58), which established the RFS that
both energy and agricultural commodity prices, are a
mandates U.S. transportation fuel contain a minimum
consideration when discussing the energy title programs.
volume of biofuel, and by the Energy Independence and
The energy title programs were established and expanded
Security Act of 2007 (P.L. 110-140), which expanded the
when high energy prices and energy independence were
mandate. Congress then passed the 2008 farm bill—which
concerns. Given current economic conditions (e.g., the
renewed authorization for and expanded renewable energy
COVID-19 pandemic, the invasion of Ukraine), it is not
programs established in the 2002 farm bill. Congress
clear how agriculture-related energy will compare with oil
subsequently passed the 2014 farm bill (P.L. 113-79),
and natural gas prices.
which extended most of the renewable energy provisions of
Kelsi Bracmort, Specialist in Natural Resources and
the 2008 farm bill. Congress then passed the 2018 farm bill
Energy Policy
that extended most of the 2014 renewable energy
provisions.
IF10639
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Farm Bill Primer: Energy Title
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