Ethanol storage tank units added to S.D. incentive program

By South Dakota Governor’s Office of Economic Development | March 05, 2015

In order to expand the Flex Pump Incentive Program, the state of South Dakota has announced that it is earmarking $300,000 for the installation of ethanol storage tank units. Established in 2012, the funds allocated for the Ethanol Infrastructure Incentive Program total $3.5 million.

“The ethanol industry is a multi-billion dollar industry in South Dakota, and it has seen significant growth in the last 10 years. It continues to pay dividends for our tax payers and our ag industry and farmers, while creating high-quality jobs. Whenever our funding programs can help facilitate that kind of growth, we’re pleased to award those funds.” said Pat Costello, commissioner of the Governor’s Office of Economic Development.

The Ethanol Infrastructure Incentive Program was initially designed to assist retailers across South Dakota with costs associated with the installation of new ethanol flex-pumps. Since the inception of the program, $1.02 million of award funding reimbursed costs associated with the installation of 60 ethanol flex-pumps at 30 retail fuel stations. Today those stations are providing consumers additional opportunities to utilize our homegrown fuel, ethanol.

“Part of the mission of the South Dakota Ethanol Producers is to seek greater access to the marketplace and increase use and acceptance of ethanol in both South Dakota and the United States. The two programs offered by the GOED do exactly that,” said South Dakota Ethanol Producers President Dana Siefkes-Lewis of Redfield Energy. “Both the Flex Pump Program and the Storage Tank Program allow retailers across South Dakota to offer more choices to their consumers. We couldn’t be happier that this readily available, home grown fuel is helping bring energy independence to our state.”

Applications for both the Ethanol Flex-Pump Program and the Ethanol Flex-Pump Storage Tank Program are now being accepted until June 30, and can be found here.  

For more information or questions regarding the program requirements, please contact Paul Mehlhaff at 605-773-3301 or paul.mehlhaff[at]