The U.S. Department of Agriculture (USDA) Rural Development is awarding more than $1.1 million in grants and loan guarantees that will help 40 rural small businesses and agricultural producers reduce energy usage and costs in their operations announced State Director Vicki Walker today. The funding will be used for energy efficiency improvements and renewable energy systems.
“These grants are helping farmers, ranchers, and rural small business owners lower their energy costs and improve their bottom line while reducing their carbon footprint,” said Walker. “Developing renewable energy presents an enormous economic opportunity for rural America. It creates jobs, cuts carbon pollution, and helps to sustain thriving, economically vibrant rural communities.”
For example, S&K Inns of America, Inc. (dba BEST WESTERN PLUS Landmark Inn) in Lincoln City, Oregon, is being awarded nearly $80,000 in grants to install a hybrid solar photovoltaic and thermal energy system. The funding will also be used to add a condensing domestic water heater system to the hotel. These projects are projected to generate and save 303,876 kilowatt hours of electricity annually, enough to power 28 homes for a year. The business is expected to reduce its costs by more than $9,000 annually as a result of its lower energy bill.
The funding for these Oregon projects is part of a nationwide announcement of $102 million in loan guarantees and $71 million in grants for 1,114 projects financed through the Rural Energy for America Program (REAP). Funding of each award announced today is contingent upon the recipient meeting the terms of the loan or grant agreement. These projects are expected to generate and/or save a total of 906 million kilowatt hours of energy—enough to power more than 83,675 homes for a year and cut carbon pollution by an estimated 455,000 metric tons. That is the equivalent of taking more than 131,500 cars off the road for a year.
Congress created REAP in the 2002 Farm Bill and reauthorized it in the 2014 Farm Bill with guaranteed funding of at least $50 million annually nationwide for the duration of the five-year bill.
In addition to the awards announced today, USDA is reminding eligible recipients that Rural Development is now accepting applications for REAP funding. For application deadlines and details on how to apply, see page 60349 of the October 6 Federal Register. Oregon applicants may also contact John Holman, Oregon Energy Coordinator, at (503) 414-3369 or john.holman@or.usda.gov for additional information. Applicants in other states should contact the USDA Energy Coordinator in their state.
Since the start of the Obama Administration, REAP has helped finance 10,753 renewable energy and energy efficiency projects that have reduced energy costs for rural businesses and agricultural producers nationwide. During this period, USDA has provided almost $360 million in grants and $430 million in loan guarantees to agricultural producers and rural small business owners. When these projects are all operational, they will generate and/or save an estimated 8.4 million megawatt hours of energy, enough to power more than 760,000 homes for a year and reduce greenhouse gas emissions by almost 5 million metric tons of carbon dioxide. That’s the equivalent of removing more than 1 million cars from the road.