Projects Will Support Climate-Smart Solutions to Lower Energy Costs
ST. PAUL, Minn., Sept. 14, 2021 – U.S. Department of Agriculture (USDA) Rural Development Acting State Director Cynthia Morales today announced that the Department is investing $118,000 to build or improve renewable energy infrastructure and to help lower energy costs for nine ag producers and rural small businesses in Minnesota.
“Modern rural infrastructure continues to be a priority for USDA,” Morales said. “Today’s investments will help ag producers and rural small businesses save on energy costs and re-invest in their bottom line while also implementing climate-smart technology, reducing their environmental footprint.”
USDA is financing $118,000 of these investments through the Rural Energy for America Program. This program provides funding to help agricultural producers and rural small businesses purchase and install renewable energy systems and make energy efficiency improvements. These climate-smart investments will conserve and generate more than 1.9 million kilowatt-hours (kWh) in rural Minnesota, which equates to enough electricity to power 172 homes per year.
For example:
- Craig Hanson is receiving a $20,000 grant to purchase and install a grain dryer on his family farm near Adams, Minnesota. This project will save the farm $22,356 per year and will save 455,692 kWh of energy per year, which is enough electricity to power 42 homes.
- Family farmer Michael Rupprecht is receiving a $10,250 grant to purchase and install a 26.5 kW solar array. This project will save the farm $4,176 per year and will generate 36,639 kWh of energy per year, which is enough energy to power three homes.
- Schouvieller Farms, Inc., a family farm near Morgan, Minnesota, is receiving a $12,000 grant to purchase and install a grain dryer. This project will save the farm $5,107 per year and will save 178,332 kWh of energy per year, which is enough electricity to power 16 homes.
Today’s projects are part of a larger investment nationwide recently announced by U.S. Agriculture Secretary Tom Vilsack that the Department is investing $464 million to build or improve renewable energy infrastructure and to help rural communities, agricultural producers and businesses lower energy costs in 48 states and Puerto Rico: Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Iowa, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Mississippi, Missouri, Montana, North Carolina, North Dakota, Nebraska, New Hampshire, New Jersey, New Mexico, New York, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, Vermont, Washington, Wisconsin, West Virginia, Wyoming and Puerto Rico.
Examples of investments made in other states, include:
- In North Dakota, Red Trail Energy LLC will use a $25 million loan to build a carbon-capture processing and storage facility at an ethanol manufacturing facility. The project will provide a 40 to 50 percent reduction in the carbon intensity score of ethanol the company produces. It also will enable the company to distribute ethanol to low-carbon fuel standard markets.
- Gulf Coast Solar LLC in Mississippi will use a $500,000 grant to make energy efficiency improvements at three wastewater treatment facilities in Hancock County. Funds will help the company design, build and install fixed-tilt, ground-mount solar photovoltaic equipment through a contract with LightEdison. The equipment will help replace 103 percent of electricity at the North location, 57 percent of electricity at the South location and 107 percent of electricity at the West location.
USDA is also financing $335 million of these investments through the Electric Loan Program. The loans will help build or improve 1,432 miles of line to strengthen reliability in rural areas. The loans include $102 million for investments in smart grid technology, which uses digital communications to detect and react to local changes in electricity usage.
To learn more about these and other resources for rural areas, contact a USDA Rural Development office.
Under the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, tribal and high-poverty areas. For more information, visit http://www.rd.usda.gov/mn. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.
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