The UC Davis partnership will form an element of Chevron’s previously announced renewable and alternative energy initiative, to which the company has allocated up to $400 million a year compared to its previous investments of $100 million per annum over the last five years.

The joint research effort will investigate the potential of renewable feedstocks available in California. The bulk of renewable fuels produced in the United States is based in the traditional agricultural Midwest region.

The researchers will work with the California Biomass Collaborative to explore the potential of agricultural and municipal waste such as rice straw and biomass.

“We think it’s important to pursue research that could accelerate the use of biofuels since we believe they may play an integral role in diversifying the world’s energy sources,” Chevron chief technical officer and vice president Don Paul said.

The project will be managed by the recently formed Chevron Technology Ventures business unit, tasked with managing the company’s research and development of alternative and renewable energy technologies, in addition to managing investments in promising third part technologies.

Chevron vice president of biofuels and hydrogen Rick Zalesky noted the importance of developing transport fuel solutions tailored to local environments.

“Once developed, next-generation processing technology will allow locally grown biomass to be harvested, processed into transportation fuels and distributed to consumers,” he said.