USDA invests $207 million in renewable energy for farms

USAgNet - 01/25/2024

The U.S. Department of Agriculture (USDA) has significantly boosted its support for renewable energy in the agricultural sector, allocating $207 million in grants and loans.

This substantial funding, part of the Inflation Reduction Act under the Biden Administration, is aimed at invigorating rural economies while addressing climate change.

Solar projects are at the forefront of this initiative. Approximately 450 projects focused on solar enhancements received over $65 million, empowering farmers to install solar panels and upgrade to larger systems. These projects vary in scale, with funding ranging from tens of thousands to $1 million.

Anaerobic digesters, used for producing biogas, also received considerable attention. Around 30 biodigester initiatives were granted more than $25 million. These projects, despite their environmental controversy, are seen as a vital step toward cleaner energy in agriculture.

In addition to renewable energy projects, the USDA is also investing in eco-friendly fertilizer solutions. The Fertilizer Production Expansion Program allocated $50 million across seven states. These funds are primarily directed towards upgrades and expansions of fertilizer production facilities, including an innovative algae-based soil treatment plant.

The largest single investment under this program is a $32.8 million grant to North Carolina's Biogas Corp for building an anaerobic digester facility, which is expected to create 19 jobs.

The funding doesn't stop there. Eco-friendly refrigeration systems, advanced fertilizer facilities, and wind turbine projects are also among the beneficiaries, with wind projects receiving nearly $2 million in grants.

This initiative by the USDA underlines a strong commitment to integrating sustainable practices in agriculture, ensuring that farmers, ranchers, and small businesses are active participants in the clean energy economy.

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