The U.S. Department of Agriculture (USDA) on Tuesday announced that 106 projects in 29 states, Guam, and Puerto Rico would receive $8.7 million in loans and grants to produce renewable energy and make energy efficiency improvements under the federal agency’s Rural Development’s Rural Energy for America Program (REAP).
REAP was authorized by the 2008 Farm Bill and seeks to help agricultural producers and rural small businesses install renewable energy systems—such as solar panels, anaerobic digesters, geothermal, wind, and hydropower—and to make energy efficiency improvements such as installing irrigation pumps or replacing ventilation systems. The program also seeks to help applicants conduct energy audits and feasibility studies.
Of the 106 projects that would receive funding, eight will receive $6.5 million in loans. The biggest loan—$5 million—was awarded to North Carolina–based RES Ag DM 4-3 LLC for installation of a biomass system. Puerto Rican firm Granja Avicola Pujols Corp. is to receive a $115,000 loan and $57,500 in grants for installation of a 55-kW solar photovoltaic (PV) system, while Potrero Los Llanos Inc., also in Puerto Rico, will receive a $32,900 loan and $16,450 to install a 20-MW solar PV system.
About 103 of the 106 projects will get $2.2 million in grants, the largest award of $113,000 going to a Calumet, Wis.–based dairy, WTE-Dallmann, for the installation of an anaerobic digester. That project is expected to generate 4.8 million kWh of power annually; its power will be sold to a local electric utility.
"The Obama Administration is helping agricultural producers and rural small business owners across the country reduce their energy costs and consumption," Agriculture Secretary Tom Vilsack said in a statement. "This is part of the President’s ‘all-of-the-above’ energy strategy, which involves expanding support for traditional as well as alternative energy sources. Stable energy costs create an environment for sustainable job growth in rural America."
Sources: POWERnews, USDA
—Sonal Patel, Senior Writer (@POWERmagazine)
