Funding Will Lower Electricity Costs and Spur Economic Growth in Indianola, Waverly, and Sergeant Bluff
INDIANOLA, Iowa, Sept. 25, 2024 – U.S. Department of Agriculture (USDA) Rural Development State Director in Iowa Theresa Greenfield today announced that USDA is moving forward in the awards process with a new clean energy project through the Powering Affordable Clean Energy (PACE) program. At a ground-breaking ceremony for the solar installation in Indianola, Director Greenfield announced that this project, if approved, will receive $6.9 million to help lower electricity bills for households, expand reliable access to renewable energy and create jobs for rural families, small businesses, and agricultural producers in three rural Iowa communities.
The funding for USDA’s PACE program is from the Inflation Reduction Act, which is the largest investment in rural electrification since President Franklin Delano Roosevelt signed the Rural Electrification Act into law in 1936 as part of the New Deal. The Inflation Reduction Act partners with rural communities to deliver clean, reliable and affordable energy.
“When we invest in electric power delivery, we strengthen the nation’s energy security,” Director Greenfield said. “Under the leadership of the Biden-Harris Administration, USDA is helping to create a more affordable and sustainable future benefiting rural families and rural businesses for years to come.” Audio: WAV, 29 seconds, 241KB
Today’s news is part of a larger national announcement made by USDA Secretary Vilsack. Read the full announcement here.
-In Iowa, Sandhills Energy's subsidiary SE Municipal Iowa LLC plans to use a $6.9 million investment to build three ground-mounted, single axis tracking solar photovoltaic facilities and power purchase agreements that will produce 7.5 megawatts of renewable energy across three Iowa cities. This is enough electricity to power more than 1,200 homes. The company and its partners held ground-breaking ceremonies today in Indianola in Warren County and in Waverly in Bremer County. The funding will also impact Sergeant Bluff in Woodbury County.
-Stag Moose Solar LLC in Wisconsin plans to use a $75.9 million investment to finance 22 ground-mounted solar arrays that will produce 62.75 megawatts of renewable energy in Iowa, Wisconsin and Minnesota, which is enough electricity to power approximately 16,000 homes.
By using renewable energy from natural sources, these investments would make it more affordable for people to heat their homes, run their businesses, power cars, schools, hospitals and more.
In May 2023, USDA made $1 billion available through PACE to fund new clean energy projects and energy storage in rural America. This program provides low interest loans with up to 60% loan forgiveness to renewable energy developers, rural electric cooperatives and other rural energy providers for renewable energy storage and projects that use wind, solar, hydropower, geothermal and biomass.
It is part of the President’s Justice40 Initiative, which aims to ensure 40% of the overall benefits of certain federal climate, clean energy and other investment areas flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.
To date, USDA has selected 27 projects totaling more than $916 million to move forward in the PACE application process.
USDA expects to continue making PACE awards in the coming months.
Contact USDA Rural Development
USDA Rural Development has 11 offices across the state to serve the 1.3 million Iowans living in rural communities and areas. Office locations include a state office in Des Moines, along with area offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.
To learn more about investment resources for rural areas in Iowa, call (515) 284-4663 or visit www.rd.usda.gov/ia. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.
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.
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