New USDA program offers loans to farmers to lower energy costs
A new U.S. Department of Agriculture (USDA) program provides farmers, rural small businesses, and agricultural producers with the opportunity to apply for loans to help lower their energy costs.
The USDA’s Rural Energy for America Program (REAP) provides funding for renewable energy systems such as anaerobic digesters, biomass, geothermal, hydropower, wind, and solar. It also can be used to make energy efficiency improvements to heating, ventilation and cooling systems; insulation; and lighting and refrigeration.
“Under the leadership of President Trump and Agriculture Secretary Perdue, USDA is committed to increasing economic development in rural communities across the country through strong partnerships with rural businesses,” Acting Assistant to the Secretary for Rural Development Joel Baxley said. “USDA’s Rural Energy for America Program (REAP) is an important tool to help strengthen and grow the rural economy.”
For example, Edgehill Farms in Oakland, Ky., received a $34,596 loan guarantee to install a 34.8-kilowatt photovoltaic array system on the roof of its ham processing facility. The system will generate about 45,000 kilowatt hours (kWh) annually which will be sold directly to the local utility, earning $4,448 for the farm each year.
President Donald Trump established the Interagency Task Force on Agriculture and Rural Prosperity in April 2017 to identify legislative, regulatory, and policy changes to promote agriculture in rural communities. The task force made 31 recommendations to achieve that mission.
