USDA Rural Development State Director Dave Conine today announced that USDA is awarding seven grants that will help rural small businesses and agricultural producers in Utah reduce energy use and operational costs after the installation of renewable energy systems.
“We’re seeing more rural business owners and agricultural producers incorporate energy-saving measures into their business plans,” Conine said. “These actions improve an operation’s bottom line and help reduce its carbon footprint. Even beyond that, this funding will also sustain American jobs by supporting energy production installations that are made in rural America.”
USDA is providing $878,000 in grants for seven projects financed through the Rural Energy for America Program (REAP). All seven projects in Utah involve the installation of solar systems which are expected to produce enough combined energy to power 264 average-sized homes for a year.
Lary Carter, owner and operator of Lary & Dean Carter Ranch Family Partnership in Milford, Utah, is receiving a $156,240 REAP grant to help finance the installation of an 84 kilowatt solar system that was installed late last year. The system will ideally lower the alfalfa farm’s average monthly electric bill by $30,000 to $35,000 a year.
Congress created the REAP program in the 2002 Farm Bill. Because of the success of the program, Congress reauthorized it in the 2014 Farm Bill with guaranteed funding of at least $50 million annually for the duration of the five-year bill. The 2014 Farm Bill builds on historic economic gains in rural America over the past seven years while achieving meaningful reform and billions of dollars in savings for taxpayers.
U.S. Secretary of Agriculture Tom Vilsack announced that nationwide, USDA is providing $102 million in loan guarantees and $71 million in grants for 1,114 projects financed through the REAP Program, including Utah. These projects are expected to generate and/or save 906 million kWh of energy – enough to power more than 83,675 homes for a year and cut carbon pollution by an estimated 455 thousand metric tons. That is the equivalent of taking more than 131,500 cars off the road for a year.
Since 2009, REAP has helped finance 10,753 renewable energy and energy efficiency projects that have reduced energy costs for rural businesses 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 operational, these projects will generate/save an estimated 8.4 million megawatt hours – 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.
Funding of each award announced today is contingent upon the recipient meeting the terms of the loan or grant agreement.
In addition to the grants announced today, USDA is reminding eligible recipients that the department is accepting applications for future REAP funding. For application deadlines and details on how to apply, contact your USDA state energy coordinator for Utah, Jason Justesen, at jason.justesen@ut.usda.gov or at 435-283-8004 ext. 106 or see page 60349 of the October 6 Federal Register.