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USDA Grant Assistance
The U.S. Department of Agriculture has two programs to help producers of agricultural products generate additional income from their commodities. Energy Trust offers financial assistance to help eligible participants write applications for U.S. Department of Agriculture (USDA) Value-Added Producer Grants (VAPGs) and Rural Energy for America Program Grants (REAP) formerly known as Section 9006 grants.
The USDA's Value-Added Producer Grants (VAPGs)
VAPGs provide funding for feasibility studies that support renewable energy projects at farms, ranches and dairies. VAPGs are designed for rural small businesses and agricultural producers who want to determine if adding a renewable power project to their land makes economic sense.
Energy Trust incentives. Energy Trust can reimburse an eligible, approved participant for 50 percent of the cost (up to a maximum of $2,500) of hiring a grant writing consultant to write a USDA-VAPG application for a feasibility study for new renewable energy projects. In addition, Energy Trust will also provide eligible and approved VAPG applicants with a limited number of 50-meter meteorological towers, anemometers and accompanying analysis to collect wind data for one year for wind project feasibility studies. Energy Trust will purchase, install, and remove the tower, and provide data analysis through the Energy Resource and Research Lab at Oregon State University in Corvallis, Oregon.
Deadline information. The 2008 VAPG application deadline has passed. The next round will likely be early 2009.
The USDA's Rural Energy for America Program Grants (REAP)
The USDA's REAP program provides grants and loans to rural small businesses and agricultural producers for the purchase and installation of renewable power projects. The REAP program is modeled on the “Section 9006” grant program that expired in 2008.
Energy Trust is providing two types of assistance for rural businesses applying for REAP grants
- Businesses that are installing solar projects with a total project cost under $200,000 can attend a REAP grant workshop in February. Each attendees at the two-day workshop will each receive step-by-step help in completing a REAP grant application. Energy Trust is taking workshop reservations now. For more information, contact Betsy Kauffman at 503-459-4072 or betsy.kauffman@energytrust.org
- Energy Trust will provide eligible approved participants with cost-shared financial assistance for hiring a grant-writing consultant to help them apply for grants for certain new renewable energy projects. If you are interested in finding out more about this Energy Trust program, please contact us.
Deadline information. Energy Trust is currently taking reservations for the February REAP workshops. Applications to the REAP program are likely to be open in early 2009. For additional information visit: http://www.rurdev.usda.gov/or/reap.htm.
Eligibility requirements for VAPG & REAP financial assistance
Eligible applicants. Independent producers, farmer and rancher cooperatives, agricultural producer groups and majority-controlled producer-based business ventures are eligible. Check with USDA for additional guidelines.
Eligible renewable energy projects. Eligible renewable resources include wind, solar, micro-hydro, biomass and geothermal energy. Eligible biomass includes material from wood or other plant sources (but not treated wood, paper or unsegregated solid waste), as well as biogas from anaerobic digestion of animal waste or other organic materials. Note that this list of eligible projects reflects both USDA and Energy Trust requirements; there are other resources that qualify for the USDA program but not Energy Trust assistance, and vice versa. Because of the varying requirements, applicants should check with both Energy Trust and USDA to confirm resource eligibility, particularly in the case of biomass fuels.
Energy Trust eligibility requirements. Projects must generate electric power. To be eligible for Energy Trust incentives, you must be an Oregon customer of Portland General Electric or Pacific Power, or be willing to deliver power to one of these utilities. Systems must be connected to the local electric utility grid. An applicant's USDA VAPG or REAP proposal must be used to support a new renewable energy project eligible for both USDA and Energy Trust funding.
