USDA Announces IRA Funds for Agricultural Renewable Energy Projects

On January 22, 2024, USDA announced an investment of $157 million in IRA funds for renewable energy and energy efficiency projects to benefit ag production, including $94 million from the IRA. The funds will be awarded in 42 states for projects through the Rural Energy for America Program (REAP). Section 22002 of the IRA appropriates funding to USDA to provide grants and loans under REAP. 

Projects awarded funding include:

• A soybean farm in Pennsylvania will install a 1,248 kilowatt solar photovoltaic system that will save $262,000 per year. It will also save the farm 2,814,000 kilowatt hours per year, which is enough energy to power 259 homes.
• Sturgis Meats in Meade, South Dakota will install a refrigeration system that will save $32,000 in energy costs per year. It will also save the company 255,000 kilowatt hours per year, which is enough energy to power 23 homes.
• In Colorado’s La Plata County, a grant for $187,000 will install a solar array that, through a power purchase agreement, will benefit a wastewater treatment facility. The facility is expected to save $58,000 per year, bringing down costs for residents. It will replace 652,923 kilowatt hours or 98 percent of the plant’s energy use per year, which is enough energy to power 60 homes.