California Dairy Digester Research and Development Program (DDRDP)

CDFA's Dairy Digester Research and Development Program (DDRDP) provides financial assistance for the installation of dairy digesters on California dairy farms. Dairy digesters, also known as anaerobic digesters, harness the natural breakdown of dairy manure to generate renewable energy from methane, in the form of electricity, renewable natural gas (RNG), hydrogen, among others. The goal of DDRDP is to reduce greenhouse gas (GHG) emissions from manure management by preventing methane, a potent climate pollutant, from entering the atmosphere.

DDRDP provides financial assistance for the installation of dairy digesters on California dairy farms. Eligible projects include:

• Installation of anaerobic digesters

• Technologies that clean and condition biogas

• Equipment to upgrade biogas into renewable natural gas or other forms of energy

These projects support on-farm renewable energy generation and create economic opportunities for dairy operations.

Impact (as of June 27, 2026): 87% of DDRDP's incentive projects have been completed. 142 projects funded; $228.2 million awarded; 24.8 million MTCO2e reduction over the expected lifespan of projects. DDRDP supports the state's target of reducing methane emissions to 40% below 2013 levels by 2030. Every year, CDFA provides a report of DDRDP project updates to the Legislature.

The 2024 DDRDP solicitation is closed. Applications were accepted between July 23 and October 18, 2024. CDFA received 22 applications requesting $30.4 million in grant funds. In April 2025, CDFA awarded 5 projects for the 2024 DDRDP grant round, totaling $7.4 million in grant funding. In December 2025, CDFA awarded 2 additional projects following the passage of SB 105 (Chapter 104), which appropriated additional funding to the livestock methane reduction programs.