In August, Congress passed the Biden-Harris Administration’s historic legislative package known as the Inflation Reduction Act (IRA) to reduce energy costs for families and create thousands of good-paying jobs for people across rural America. IRA represents the largest single investment in rural electrification since the passage of the Rural Electrification Act in 1936. Sections 22001 through 22005 of IRA provide new loan and grant products and unprecedented incentives to expand clean energy, transform rural power production, create jobs, and spur economic growth to be offered by USDA Rural Development’s Rural Utilities Service (RUS) and Rural Business and Cooperative Service (RBCS).
The Act provides funding to USDA Rural Development to help eligible entities purchase renewable energy and zero-emission systems and make energy-efficiency improvements that will significantly reduce greenhouse gas emissions. For example, it provides:
The nation’s largest-ever investment in combatting the climate crisis. This historic investment in rural communities, expands clean energy and supports American energy independence, invests in popular conservation programs and climate-smart agriculture, helps agricultural producers and rural small business owners make energy efficiency improvements and renewable energy investments to lower energy costs, generate new income and fosters economic opportunity.
Download full project chart Download the White House Factsheet Download the IRA Climate and Clean Energy Solutions Factsheets
New programs made possible by the Inflation Reduction Act will support new jobs and healthier communities. These funding opportunities will help rural energy and utility providers bring affordable, reliable clean energy to their communities across the country. To learn more, read the full Summary of New Programs and the Rural Utilities Service IRA Presentation.
Over $2 billion for renewable energy systems and energy efficiency improvement grants.
New ERA funding improves health outcomes and lower energy costs for people in rural communities.
PACE helps make clean, affordable, and reliable energy accessible to the people of rural America.
Competitive grants to eligible entities for activities designed to expand the sales and use of renewable fuels.