Additional Information
- Total Funding: $1.72B
- Types of Funding:
- Grants: Financial assistance for renewable energy systems and energy efficiency improvements.
- Guaranteed Loans: Loan financing for renewable energy systems and energy efficiency improvements.
REAP is designed to:
• Promote Renewable Energy: Support the development and implementation of renewable energy systems.
• Enhance Energy Efficiency: Improve energy efficiency in agricultural production and rural small businesses.
• Foster Economic Development: Encourage economic growth and job creation in rural areas through energy cost savings and sustainable practices.
• Eligible Applicants:
o Rural small businesses
o Agricultural producers
• Tribal Eligibility: Yes
• Eligible Areas: Rural areas as defined by USDA guidelines.
Eligible Uses
• Renewable Energy Systems:
o Biomass (e.g., biodiesel, ethanol, anaerobic digesters, solid fuels)
o Geothermal (electric generation or direct use)
o Hydropower (below 30 MW)
o Hydrogen
o Wind generation (small and large)
o Solar generation (small and large)
o Ocean (tidal, current, thermal) generation
• Energy Efficiency Improvements:
o High-efficiency heating, ventilation, and air conditioning systems (HVAC)
o Insulation
o Lighting
o Cooling or refrigeration units
o Doors and windows
o Electric, solar, or gravity pumps for sprinkler pivots
o Switching from diesel to electric irrigation motors
o Replacement of energy-inefficient equipment
• Cost Share Requirement: Up to 50%
• Period of Availability: Funds are available until September 30, 2031.
• Environmental Review: Applicants must complete an environmental review before incurring project costs or commencing construction activities.
• Energy Cost Savings: By funding renewable energy systems and energy efficiency improvements, REAP helps reduce energy costs for agricultural producers and rural small businesses.
• Economic Development: Improved energy infrastructure and cost savings contribute to economic growth and job creation in rural areas.
• Sustainability: The program supports sustainable practices that enhance energy independence and reduce greenhouse gas emissions.