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Economic Development & Analysis

Dr. Frank O'Conner

A commercial biorefinery with a capacity of 50 million gallons of biodiesel per year is estimated to have a total economic impact of $480 million with about 2,000 jobs created. A detailed study of the impact from on going operation of the biorefinery is underway. Switchgrass as the primary biomass crop will cost an estimated $64/ton to produce using existing technology of large round bales and onfarm storage and transport an average distance of 25 miles to a refinery. Compared with other regions, producers in central Kentucky are likely to have a solid cost advantage in producing switchgrass.

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