USDA $124M aid in rural clean energy & fertilizer projects

By Scout Nelson

In a recent announcement at the University of Nebraska-Omaha, U.S. Department of Agriculture (USDA) Secretary Tom Vilsack declared that the USDA will invest $124 million in renewable energy and fertilizer production.

This funding, primarily from President Biden's Inflation Reduction Act, aims to cut energy costs, generate new income, and create jobs in rural areas.

The Rural Energy for America Program (REAP) will utilize over $120 million of the funds to support 541 projects in 44 states.

These projects will help agricultural producers and rural small business owners by providing grants and loans for wind, solar, and other clean energy systems, alongside energy efficiency improvements.

Highlighting the reach of these initiatives, Secretary Vilsack mentioned that these investments would foster a robust U.S. supply chain and a clean energy economy. He emphasized that the funds would aid in creating well-paying jobs and allow savings to be reinvested into community and business growth.

For example, in Nebraska, Darr Grain is set to install wind turbines to significantly reduce their energy costs, while in Maine, Moorit Hill Farm will install a large solar system to cover its entire energy usage.

Another project in Idaho will see Boulder Creek Oz install a biomass furnace, improving energy efficiency at their lodging facilities.

The announcement also covered nearly $4 million in funding from the Fertilizer Production Expansion Program (FPEP) to Bluestem Systems for building facilities in Iowa and Nebraska.

This project will support domestic fertilizer production, thereby assisting U.S. farmers by lowering fertilizer costs.

The USDA continues to welcome REAP applications and will hold funding competitions quarterly until September 30, 2024. This initiative is part of the broader USDA efforts to support infrastructure, business development, and quality of life improvements in rural America.

Photo Credit -usda