COLUMBIA, MO, -- USDA is offering grants and loan guarantees to help rural businesses and agricultural producers reduce their energy costs and consumption. The funding is being provided through USDA Rural Development's Rural Energy for America Program (REAP). Loans and grants are available to install renewable energy systems or make energy efficiency improvements.
"REAP is a community and economic development program. Any time a program can reduce costs for producers and businesses, the result is improved community stability and vitality," said Missouri State Director Janie Dunning. "Through REAP, projects are funded which reduce operating costs for businesses, farmers and ranchers. These projects not only assist community and economic development, but the energy savings and energy advancements extend the life of existing energy resources and contribute to preserving a healthy ecosystem."
Renewable energy systems include solar, wind, geothermal, anaerobic digesters, and renewable biomass.
Energy efficiency improvements include grain drying and handling, lighting, refrigeration, facility improvements (such as adding insulation or replacing windows), heating and cooling upgrades, motor replacements and automated control upgrades.
Cedar Creek Hardwoods, Inc. (Fredericktown, MO) received a $20,000 grant to upgrade their lighting and HVAC system which will lower their costs by 49%.
SP Aker-Haslag Poultry, LLC (Windsor, MO) received a $14,770 grant to upgrade six poultry barns with retrofits that will lower costs by 23%.
Grants of up to 25% of a project's total costs are available.
* The maximum grants are $250,000 for energy efficiency improvements and $500,000 for renewable energy systems
Loans guarantees of up to 75% of a project's total costs are available.
* The minimum loan is $5,000
* The maximum loan is $25 million
For grant requests of $20,000 and less the application deadlines are October 31, 2016 and March 31, 2017. For grant requests greater than $20,000 the application deadline is March 31, 2017. Guaranteed loan applications will be reviewed on a monthly basis.