Funding through the Rural Energy for America Program aims to lower energy costs, create jobs, and promote sustainable growth across the Hoosier State.
U.S. Department of Agriculture (USDA) Rural Development Indiana State Director Curtis Johnson announced that USDA is partnering with Hoosier farmers and small business owners to expand access to clean energy, create jobs, and help lower their energy bills through the Rural Energy for America Program (REAP). This funding includes more than $12 million in grants for small businesses and farms across Indiana to implement cost-saving, clean, efficient energy systems on their properties.
"Collaboration between USDA Rural Development and Hoosier agricultural producers and small businesses is essential for fostering sustainable growth," Johnson said. "By investing in our local communities, we're not only strengthening our economy but also paving the way for a greener future that benefits everyone."
Through REAP, USDA partners with agricultural producers and small businesses to lower business costs through clean energy and energy efficiency systems. USDA also announced the availability of an additional $600 million in REAP funds that farmers and small businesses can apply for by March 31, 2025.
REAP Investments Lower Costs and Create Jobs
USDA is investing over $12 million in REAP grants to support 64 Hoosier farmers and small businesses. The investments announced today will help make it possible for Indiana agricultural producers and rural small business owners to expand their clean energy use and improve energy efficiency.
These innovations will help them increase their income, grow their businesses, and address climate change while lowering energy costs for Hoosier families.
For example, in Jasper County, Windy Ridge Dairy, LLC will use a $1 million grant to purchase and install a 1.9 megawatt (MW) solar array. This project will save the business $175,427 annually and replace 2,606,642 kilowatt hours (kWh) (39 percent) annually, enough electricity to power 200 homes.
DeKalb County, DeKalb Metal Finishing Inc. will use a $999,450 grant to develop a renewable energy system. Project funds help purchase and install a 1,100 kilowatt (kW) solar array. This project will save the business $188,200 annually and replace 1,453,824 kilowatt hours (kWh) (40 percent) annually, enough electricity to power 111 homes.
The full list of recipients can be found here.
Background: REAP Inflation Reduction Act Funding Availability
As part of today’s announcement, USDA will make available an additional $600 million across three funding rounds from now until 2027.
During each funding round, the Department expects to make available $180 million in general REAP funding and $20 million in set-aside funding for underutilized renewable energy technology.
These funds are made possible by the Inflation Reduction Act and will be the final REAP funding availability from this legislative package.
USDA is accepting applications in this first round through two windows. The deadlines to apply are Dec. 31, 2024, and March 31, 2025.
REAP is a part of the Justice40 Initiative, which sets a goal that 40% of the benefits from certain federal investments go to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.
For additional information about the REAP funding availability, see page 83449 of the Oct. 16 Federal Register.
USDA 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. Visit the Rural Data Gateway to learn how and where these investments are impacting rural America. For more information, visit www.rd.usda.gov. To subscribe to USDA Rural Development updates, visit the GovDelivery Subscriber Page.
USDA touches the lives of all Americans each day in so many positive ways. USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate-smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit www.usda.gov.
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