Biden-Harris Admin Puts $207M into Clean Energy, US Farms
TL/DR –
The U.S. Department of Agriculture (USDA) is investing $207 million in renewable energy and domestic fertilizer projects to lower energy bills, generate income, and create jobs for U.S. farmers, ranchers, and agricultural producers as a part of President Biden’s Inflation Reduction Act. The funding includes $157 million for 675 projects in 42 states through the Rural Energy for America Program and $50 million in seven projects in seven states through the Fertilizer Production Expansion Program. The projects aim to increase competition in agricultural markets, lower costs, and expand clean energy, while also strengthening supply chains, creating economic opportunities, and supporting climate-smart innovation.
Renewable Energy Projects Funded by Biden’s Inflation Reduction Act to Benefit Rural Businesses, Farms
WASHINGTON, Jan. 22, 2024 — USDA Secretary Tom Vilsack announced a $207 million investment by the USDA in renewable energy and domestic fertilizer projects. This funding from President Biden’s Inflation Reduction Act aims to lower energy costs, generate new income, create jobs, and enhance U.S. farmers’ competitiveness.
During the 105th annual American Farm Bureau Federation convention in Utah, Secretary Vilsack highlighted how this initiative supports Biden’s Investing in America agenda, promoting economic growth in rural communities via clean energy expansion, agricultural market competition, and cost reduction.
Secretary Vilsack noted these investments would benefit farmers, ranchers, and small businesses by expanding access to renewable energy infrastructure and boosting domestic fertilizer production, creating jobs, and reducing energy costs.
The USDA is allocating $207 million across 42 states through the Rural Energy for America Program (REAP) and the Fertilizer Production Expansion Program (FPEP). REAP awards total $157 million for 675 projects, including over $94 million from the Inflation Reduction Act. These investments align with the President’s Justice40 Initiative and will cut energy costs for farmers, allowing reinvestment into their businesses and communities.
FPEP projects aim to enhance U.S. farmers’ independent, domestic fertilizer production. The $50 million investment includes seven projects in seven states, supporting supply chain strengthening, new business opportunities, and climate-smart innovation.
Under the Biden-Harris Administration, the USDA has invested over $166 million in 40 projects to boost domestic fertilizer production through FPEP and more than $1.6 billion through REAP to help rural business owners reduce energy costs and strengthen operational resiliency.
Background
REAP provides grants and loans to help rural business owners and ag producers expand their use of clean energy and make energy efficiency improvements. USDA is accepting REAP applications until Sept. 30, 2024. More information is available on page 19239 of the March 31 Federal Register.
FPEP provides grants to independent business owners to boost domestic fertilizer production, strengthen competition, and lower costs for U.S. farmers. It was created as part of a broader effort to address rising fertilizer prices, ensure fair competition, and promote resilience across food and agriculture while combating the climate crisis.
For more information about the USDA and its programs, visit www.usda.gov. To subscribe to USDA Rural Development updates, visit the GovDelivery subscriber page.
—
Read More US Economic News