USDA to help ag, rural businesses cut energy use

The Agriculture Department has announced nearly $70 million in grants and loans to 540 renewable energy and energy efficiency projects across the country, including nearly 50 across Iowa.

The government said much of the funding for projects in Iowa, which ranged from a few thousand dollars up to $50,000, went for the installation of grain dryers, solar panels, wind and other energy efficiency products. One recipient, D&S Farm Enterprises of Clear Lake, received $17,550 for an energy efficient grain dryer that handles 64,700 bushels.

The USDA said the money would be used to help farmers, ranchers and small business owners add renewable energy and efficiency technologies into their operations. Projects could include installing solar panels, wind mills or irrigation pumps.

It said 240 projects totaling $60.5 million in funds would go toward solar investments.

"These loan guarantees and grants will have far-reaching impacts nationwide, particularly in the rural communities where these projects are located," Agriculture Secretary Tom Vilsack said.

The 2012 Census of Agriculture showed the number of farms utilizing renewable energy production has doubled in the last five years to more than 57,000 operations.

The grants announced Monday come from the department's Rural Energy for America Program (REAP) created in 2008 to help farmers boost energy efficiency and spur greater use of renewable energy.

The department said that since the start of the Obama Administration, REAP has supported more than 8,800 renewable energy and energy efficiency projects nationwide. During this same time, the USDA has provided more than $276 million in grants and $268 million in loan guarantees to agricultural producers and rural small business owners.