USDA Rural Development State Director Colleen Landkamer today announced $430,623 in loans and grants for 29 renewable energy and energy efficiency projects throughout Minnesota that USDA is supporting through its Rural Energy for America Program (REAP).
"Investing in renewable energy and energy efficiency projects encourages the development, production, and delivery of clean, renewable and domestically produced energy for a more sustainable rural America," Landkamer said. "This funding will provide rural communities with resources to increase energy security and job opportunities throughout Minnesota."
Eligible agricultural producers and rural small businesses may use REAP funds to make energy efficiency improvements or install renewable energy systems, including solar, wind, renewable biomass (including anaerobic digesters), small hydroelectric, hydrogen, and geothermal.
For example, Stokes Farms, LLP, of Chatfield, Minn., is receiving a $19,750 grant to install a 10 kW wind turbine. When operational, the project is expected to generate 30,000 kWh of electricity per year.
Here are two examples of how REAP has helped rural businesses:
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Earlier this year, Alternative Energy Solutions, LLC in Altura, MN will receive $10,000 to offset the cost of installing a PV solar system that will generate electricity needed for the production of biomass pellets that can be burned to heat greenhouses. The amount of energy generated by the solar panels will replace more than 25 percent of their annual electricity use – saving them $4,000 per year in operating costs.
- Pet Urns by HTW, LLC in Chatfield, MN will receive $13,124 to also offset the costs associated with installing a PV solar system that is projected to save approximately $2,700 annually and replace 100 percent of operating costs for electricity needed to operate machinery that makes specialized products to honor the memory of your loved ones.
The next application deadline for REAP grants is November 2, 2015. USDA will issue a notice of available funding with more details on how to apply in the coming weeks. REAP was created by the 2008 Farm Bill and was reauthorized by the 2014 Farm Bill.
Today’s funding is part of a nationwide announcement made by the U.S. Agriculture Secretary Tom Vilsack on August 7, 2015 regarding $63 million in loans and grants for 264 renewable energy and energy efficiency projects nationwide through USDA’s REAP program.
Since 2009, USDA has supported more than 953 renewable energy and energy efficiency projects in Minnesota through REAP. During this period, USDA Rural Development has provided more than $37 million in grants and loan guarantees to rural small business owners and agricultural producers.
For more information on the REAP program, please contact our Energy and Environmental Coordinator Ron Omann at 651-602-7796 or ron.omann@mn.usda.gov, or your local Area Specialist by visiting www.rd.usda.gov/mn.