Albany Renewable Energy abandons $350M ethanol project

In New York, Albany Renewable Energy has cancelled their lease with the Port of Albany.  Originally, Albany Renewable had planned to build a $350 million ethanol plant at the sight, but has not been able to meet deadlines outlined in their twenty year lease.

Rick Hendrick, Albany Port General Manager stated that the Port and Albany Renewable agreed to revoke the lease without litigation.   Hendrick explained, “It’s just because of what was happening to the market and government incentives,” Hendrick said. “It made it hard. The way it started out, it was really promising.”  According to Hendrick, since last June when the Senate voted to end corn-based ethanol subsidies, and Congressional members are targeting both ethanol subsidies and corporate subsidies in general, it is becoming more difficult for ethanol projects to get financing.