The Algae Biomass Organization (ABO) applauds the Congressional Algae Caucus for advancing Fiscal Year 2027 appropriations requests that support the continued development of algae-based technologies across multiple sectors of the U.S. economy.
These requests reflect growing recognition of algae as a strategic domestic resource with broad applications in agriculture, energy, carbon utilization, rural development, and industrial innovation. By supporting targeted investments in research, demonstration, and commercialization, Congress can help unlock the full potential of algae to deliver economic, environmental, and competitive benefits for the United States.
The FY27 requests include several important priorities for the algae industry.
A request of $10 million through the Rural Business-Cooperative Service’s Biobased Markets and Development Access Grants Program (BDAP) would support the establishment and validation of the commercial viability of open raceway microalgae farming through integrated demonstration units. The accompanying report language recognizes the potential for pairing algae cultivation with data center infrastructure to generate local jobs, revenue, and agricultural output.
The request also includes $50 million for algae-related activities through the Department of Energy’s Bioenergy Technologies Office (BETO). This funding would support continued work on algae biofuels and the development of valuable co-products such as food and feed ingredients, as well as chemical and polymer feedstocks, helping improve the economics of algae-based energy systems.
In addition, the request calls for $20 million for algae-related Carbon Management Technologies to support research and development of carbon utilization using algal systems, with a focus on using carbon dioxide from power generation to support data centers and related industrial applications.
On the agricultural side, the request includes $10 million through the Agriculture and Food Research Initiative (AFRI) for algae feed ingredient trials. This funding reflects increasing recognition of algae’s value in animal nutrition, including its potential to improve animal health, reduce stress, support immunity and gut health, and enhance the nutritional profile of meat, milk, and eggs.
Finally, the request includes report language providing $3 million to the Agricultural Research Service (ARS) to conduct a comprehensive techno-economic feasibility analysis of large-scale algae-based production for agricultural and livestock uses. This study would examine commercialization opportunities, regional suitability, infrastructure needs, water availability, market demand, and regulatory barriers, helping create a more informed path for algae deployment in rural America.
Taken together, these requests would help strengthen the algae industry’s ability to deliver real-world solutions in food, feed, fuel, carbon management, and agricultural productivity. They also underscore the importance of continued federal support for technologies that can drive U.S. competitiveness while addressing environmental and economic challenges.
ABO thanks the Co-Chairs of the Congressional Algae Caucus for their leadership and for recognizing the important role algae can play in advancing innovation, supporting rural communities, and building a more sustainable bioeconomy.
We look forward to working with policymakers, members, and partners to advance these priorities through the FY27 appropriations process. FY27 Algae Caucus Letter.pdf
