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Rural Energy Savings Program


Letter of Intent Deadline: Review NOSA |  Sample Letter of Intent (PDF) | Sample Letter of Intent (Word)

What does this program do?

The Rural Energy Savings Program (RESP) provides loans to rural utilities and other companies who provide energy efficiency loans to qualified consumers to implement durable cost-effective energy efficiency measures.

Who may apply for this program?

Eligible applicants under the RESP include current and former RUS borrowers, subsidiaries of current or former RUS borrowers, and entities that provide retail electric service needs in rural areas.  

What are the Types of Eligible Borrowers?

RUS makes loans to corporations, states, territories, and subdivisions and agencies thereof; municipalities; people's utility districts; and cooperative, nonprofit, limited-dividend, or mutual associations that provide or propose to provide:

  1. The retail electric service needs of rural areas, or
  2. The power supply needs of distribution borrowers under the terms of power supply arrangements satisfactory to RUS, or    
  3. Eligible purposes under RESP, including energy efficiency, renewable energy, energy storage or energy conservation measures and related services, improvements, financing, or relending.

What are the terms of the loans?

  • Up to 20 years at a 0% interest rate
  • Up to 5% interest rate for relending to end users qualified consumers, for up to 10 years
  • Up to 4% of the loan total may be used for startup costs

What is an eligible area?

We encourage you to contact us to determine whether your program would serve an eligible rural area.

How may funds be used?

Funds may be used for the purpose of implementing energy efficiency measures to decrease energy use or costs for rural families and small business.

How do we get started?

  • Applications for this program will be accepted on a first come first serve basis until the depletion of available funding. Please see the funding announcement which provides detailed information on the RESP program including how to apply.  
  • Letter of Intent

Who can answer questions?

Contact Bob Coates at Robert.Coates@usda.gov .

What governs this program?

These loans are made available under the authority of section 6407 of the Farm Security and Rural Investment Act of 2002 (7 U. S.C. 8107a) (Section 6407). 

Why does USDA Rural Development do this?

USDA is committed to offering a variety of financing options to expand efforts to help rural communities save money, reduce the need to purchase or generate energy, reduce emissions from generation of electricity, and help strengthen rural economies through job creation for energy efficiency and conservation projects.




There are no other architect, engineering or environmental requirements at the national level. If there are additional state-specific requirements they will be listed above. 

There are no other additional requirements at the national level. If there are additional state-specific requirements they will be listed above.

Robert Coates, Electric Program
USDA Rural Development, Rural Utilities Service
1400 Independence Avenue SW, STOP 1568, Room 0257-S
Washington, DC 20250-1510
Telephone: (202) 260-5415
Email: Robert.Coates@usda.gov

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