The U.S. Department of Agriculture awarded $207 million in grants and loans to renewable energy and fertilizer projects on Monday, with the majority of funds supporting solar infrastructure and anaerobic digestion.
Approximately 450 projects seeking solar improvements received more than $65 million in total funding from the USDA’s Rural Energy for America Program, according to an agency list reviewed by Agriculture Dive. Most earned tens or hundreds of thousands of dollars to support installing solar panels, while a handful of larger systems projects received up to $1 million in funding.
USDA’s REAP grants and loans are made possible in part by the Biden Administration’s Inflation Reduction Act, designed to spur economic growth in rural communities while mitigating the effects of climate change. Those interested can apply for eligible funding through Sept. 30.
“President Biden and USDA are ensuring farmers, ranchers and small businesses are not only a part of the clean energy economy, but directly benefiting from it,” Agriculture Secretary Tom Vilsack said in a statement.
Along with solar projects, a large portion of funding went to anaerobic digesters and other biogas projects, which remain controversial among environmental groups. Close to 30 biodigester projects received more than $25 million in REAP grants, according to the data.
USDA also awarded $50 million in grants under its Fertilizer Production Expansion Program to seven projects in seven states. Most of the million-dollar grants went to new or existing fertilizer factory upgrades or capacity expansion projects, including for an algae-based soil treatment facility. However, biodigesters also received funding, with the largest investment going to North Carolina-based Biogas Corp to build an anaerobic digester facility expected to create 19 jobs. The grant totaled $32.8 million.
Other projects receiving funds included upgrades for eco-friendly refrigeration systems and high-tech fertilizer facilities. More than 20 wind turbine projects received nearly $2 million in grants.
