Sioux Falls officials say the city’s deal allowing a biofuel company to use the methane gas released from its landfill is saving taxpayers money and creating cleaner air.

The Argus Leader reports that the city recently approved a plan to extend its contract with POET for another 10 years. The company uses the carbon-methane gas coming off garbage at the Sioux Falls Regional Landfill for its ethanol plant in Chancellor, roughly 10 miles (16 kilometers) away.

The company has used 3.7 million Btu of the landfill gas for ethanol production over the last 10 years. POET says it’s offset almost 200,000 metric tons of carbon dioxide from natural gas.

The city, in return, has received about $17 million since 2009. The new contract is estimated to bring Sioux Falls $12.7 million over the next decade.


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