The Department of Defense was put in the awkward position of having to defend cuts to military pay raises and housing allowances as well as increasing health care fees just one day before a report saying the Pentagon spent $150 a gallon on green jet fuels.

Defense officials spent $150 on jet fuel made from algae that is approved for civilian and military use, according to a report released Wednesday by the Government Accountability Office.

“Specifically, a DOD official reported that the department paid a range of prices from about $3 per gallon for 315,000 gallons of alternative jet fuel derived from natural gas produced using the Fischer-Tropsch process to about $150 per gallon for 1,500 gallons of alternative jet fuel derived from algal oil produced using the HEFA process,” according to the GAO.

“These prices, however, reflect purchases of small quantities of fuel for testing and approval activities, which according to government officials and a fuel producer we interviewed and literature we reviewed, are higher than what the price would be if the quantities were produced at a commercial scale,” the GAO said.

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