Rural Energy for America Program (REAP) Grants help agricultural producers and rural small businesses purchase and install renewable energy systems and make energy efficiency improvements (RES/EEIS) as well as pay for energy audits and renewable energy development assistance (EA/REDA).
- Funded for $80 million - $55 million dollars, plus another $25 million in discretionary funding.
- Deadline: July 31, 2009.
- To Apply, contact your local USDA agent.
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How much are the grants?
The grants are awarded on a competitive basis and can be up to 25% of total eligible project costs. Grants are limited to $500,000 for renewable energy systems and $250,000 for energy efficiency improvements. Grant requests as low as $2,500 for renewable energy systems and $1,500 for energy efficiency improvements will be considered. At least 20% of the grant funds awarded must be for grants of $20,000 or less.
Who is eligible?
The program is designed to assist farmers, ranchers and rural small businesses that are able to demonstrate financial need. All agricultural producers, including farmers and ranchers, who gain 50% or more of their gross income from the agricultural operations are eligible. Small businesses that are located in a rural area can also apply. Rural electric cooperatives may also be eligible to apply.
What types of projects are eligible?
Most rural projects that reduce energy use and result in savings for the agricultural producer or small business are eligible as energy efficiency projects. These include projects such as retrofitting lighting or insulation, or purchasing or replacing equipment with more efficiency units.
Eligible renewable energy projects include projects that produce energy from wind, solar, biomass, geothermal, hydro power and hydrogen-based sources. The projects can produce any form of energy including, heat, electricity, or fuel. For all projects, the system must be located in a rural area, must be technically feasible, and must be owned by the applicant.
Examples of Energy Efficiency eligible projects
- Building Insulation
- Lighting
- HVAC Systems
- Water Heating
- Power Systems
- Refrigeration
- Grain Drying and Curing
- Irrigation
- Fans and Blowers
- Compressors
- Pumps
- Windows
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Examples of Renewable Energy eligible projects
- Biomass, Bio-energy
- Anaerobic digester
- Geothermal, electric generation
- Geothermal, direct use
- Hydrogen
- Solar, small and large
- Wind, small and large
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