Biden Administration Announces $207 Mn Investment In Clean Energy

Biden Administration Announces 207$ Mil Investment In Clean Energy

The US Department of Agriculture (USDA) Secretary Tom Vilsack recently announced USDA $207 million investment in renewable energy and domestic fertilizer projects. These projects are expected to lower energy bills, generate new income, create jobs, and strengthen competition for US farmers, ranchers and agricultural producers.

Many of the projects are being funded by President Biden’s Inflation Reduction Act, which is nation’s investment in combating the climate crisis. This announcement was made by Secretary Vilsack at the 105th annual American Farm Bureau Federation convention held at Salt Lake City, Utah. It can allow it to grow the nation’s economy from the middle-out and bottom up, create jobs. It can ‘spur’ economic growth in rural communities by increasing competition in agricultural markets, lowering costs and expanding clean energy.

“President Biden and USDA can ensure 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 can expand access to renewable energy infrastructure and increase domestic fertilizer production, 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 has awarded $207 million in 42 states for projects through the Rural Energy for America Program (REAP) and the Fertilizer Production Expansion Program (FPEP). The REAP award amount a total of $157 million for 675 projects in 42 states. It included more than $94 million from President Biden’s Inflation Reduction Act.

The REAP program delivered on the President’s Justice40 Initiative, which aimed to deliver 40% of the overall benefits of certain federal investments to disadvantaged communities that are marginalized by under-investment and overburdened by pollution. These investments can cut energy costs for farmers and agriculture producers that can instead be used to create jobs and new revenue streams for people in their communities.

For example, in Colorado’s La Plata County, a grant for $187,000 can install a solar array that, through a power purchase agreement, can benefit a wastewater treatment facility. The facility is expected to save $58,000 per year, bringing down costs for residents. It can replace 652,923 kilowatt hours or 98 percent of the plant’s energy use per year, which is enough energy to power 60 homes.

The Rural Energy for America Program (REAP) provides grants and loans to help 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.