Rural Energy for America Program grants available

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The deadline to apply for Rural Energy for America Program grants of up to $20,000 is Nov. 2. This program provides grant funding to small rural businesses in eligible areas and agricultural producers with at least 50 percent of gross income coming from agricultural operations.

The deadline to apply for Rural Energy for America Program grants of up to $20,000 is Nov. 2. This program provides grant funding to small rural businesses in eligible areas and agricultural producers with at least 50 percent of gross income coming from agricultural operations.

“This program is a great way for our farmers and small, rural businesses to drastically cut utility costs through cost-saving energy upgrades,” said Chris Kanazawa, USDA Rural Development state director for Hawaii and the Western Pacific. “Clean energy not only reduces our dependency on fossil fuels, but strengthens the capacity for our local agricultural producers and businesses to be competitive due to decreased operating costs.”

Grants cover up to 25 percent of the total cost of the project. Renewable energy systems can include wind, solar, ocean, small hydropower, hydrogen, geothermal and renewable biomass (including anaerobic digesters). Energy efficiency improvements eligible for REAP funding include lighting, heating, cooling, ventilation, fans, automated controls and insulation upgrades that reduce energy consumption.

While the next deadline for grants is approaching, applications are accepted continuously for unrestricted grants and loans with a maximum grant amount of $500,000 and a $25 million maximum loan amount per applicant.

Since 2009, USDA has awarded $545 million for more than 8,800 REAP projects nationwide. This includes $361 million in REAP grants and loans for more than 2,900 renewable energy systems. When fully operational, these systems are expected to generate more than 6 billion kilowatt hours annually — enough to power more than 5.5 million homes for a year.

For more information about REAP grants, call the USDA Rural Development Hawaii office at 933-8380.