Biden-Harris Administration Invests $207 Million in Clean Energy and Domestic Fertilizer Projects to Strengthen American Farms and Businesses as part of Investing in America Agenda
Rural Development funding in Southern New England Will Lower Costs and Create Revenue for Rural Business Owners and Farms.
AMHERST, MA, Jan. 30, 2024 – U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced that USDA is investing $207 million in renewable energy and domestic fertilizer projects to lower energy bills, generate new income, create jobs, and strengthen competition for U.S. farmers, ranchers and agricultural producers. Many of the projects are being funded by President Biden’s Inflation Reduction Act, the nation’s largest-ever investment in combating the climate crisis.
Secretary Vilsack made the announcement at the 105th annual American Farm Bureau Federation convention in Salt Lake City, Utah. This funding advances President Biden’s Investing in America and Bidenomics agenda to grow the nation’s economy from the middle-out and bottom up, create jobs and spur economic growth in rural communities by increasing competition in agricultural markets, lowering costs and expanding clean energy.
“President Biden and USDA are ensuring farmers, ranchers and small businesses are not only a part of the clean energy economy, but directly benefitting from it,” Secretary Vilsack said. “The investments announced will expand access to renewable energy infrastructure, all while creating good-paying jobs and saving people money on their energy costs that they can then invest back into their businesses and communities.”
The Department is awarding $207 million in 42 states for projects through the Rural Energy for America Program (REAP) and the Fertilizer Production Expansion Program (FPEP).
REAP awards total $157 million for 675 projects in 42 states, including more than $94 million from President Biden’s Inflation Reduction Act. The REAP program delivers on the President’s Justice40 Initiative, which aims to deliver 40% of the overall benefits of certain federal investments to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution. These investments will cut energy costs for farmers and ag producers that can instead be used to create jobs and new revenue streams for people in their communities.
We are excited that this announcement includes projects in Rhode Island and Massachusetts that are receiving REAP support,” said Scott J. Soares, State Director USDA Rural Development Southern New England. “These investments in rural America not only enhance our capacity for local renewable energy generation, but they also support local economies and the resiliency of our rural communities.”
Andromeda Real Estate Partners LLC in Lincoln, RI has been awarded $250,000 to purchase and install a 250-kilowatt (kW) ground mounted photovoltaic solar system. The project is expected to generate 343,100 kilowatt hours (kWh) of electricity per year, which is enough energy to power 31 homes.
A Rural Development renewable energy investment of $73,800 will be used to help Federal Furnace Cranberry Company in Carver, MA purchase and install a 48-kilowatt (kW) roof mounted photovoltaic solar system. The project is expected to generate 62,350 kilowatt hours (kWh) of electricity per year, which is enough to power five homes.
Bonnie Lee Farms in Williamstown, MA is receiving $68,038 to purchase and install a 30.72-kilowatt (kW) ground mounted photovoltaic solar system. This project is expected to replace 34,740 kilowatt hours (kWh) of electricity per year, which is enough energy to power three homes.
Since the start of the Biden-Harris Administration, USDA has invested more than $166 million in 40 projects nationwide to boost domestic fertilizer production through FPEP. USDA has also taken steps to support producers in leveraging these tools through nutrient management assistance and climate-smart management practices. During that same time, USDA has invested more than $1.6 billion through REAP in 5,457 renewable energy and energy efficiency improvements that will help rural business owners lower energy costs, generate new income, and strengthen their resiliency of operations.
Background
The Rural Energy for America Program (REAP) provides grants and loans to help ag producers and rural small business owners expand their use of wind, solar and other forms of clean energy and make energy efficiency improvements. These innovations help them increase their income, grow their businesses, address climate change and lower energy costs for American families.
USDA continues to accept REAP applications and will hold funding competitions quarterly through Sept. 30, 2024. The funding includes a dedicated portion for underutilized renewable energy technologies. For additional information on application deadlines and submission details, see page 19239 of the March 31 Federal Register.
The Fertilizer Production Expansion Program (FPEP) provides grants to independent business owners to help them modernize equipment, adopt new technologies, build production plants and more. Funding helps boost domestic fertilizer production, strengthen competition and lower costs for U.S. farmers.
The Biden-Harris Administration and USDA created FPEP to combat issues facing American farmers due to rising fertilizer prices, which more than doubled between 2021 and 2022 due to a variety of factors. Factors included the war in Ukraine, a lack of competition in the fertilizer industry, and more.
FPEP is part of a broader effort to help producers boost production and address global food insecurity. It is also one of many ways the Administration is promoting fair competition, innovation and resiliency across food and agriculture while combating the climate crisis.
USDA touches the lives of all Americans each day in so many positive ways. Under the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate-smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit www.usda.gov/ct-ma-ri.
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