USDA Renewable Energy and Energy Efficiency Program

Soaring energy prices are hurting the bottom line for many businesses. Fortunately, there is still time this year for agricultural producers and rural small businesses to cut energy costs and improve profit margins with the help of an energy program through the United States Department of Agriculture (USDA).

A successful Farm Bill clean energy program (“Section 9006 program”) offers competitive grants and loan guarantees for farmers, ranchers and rural small businesses to reduce the cost of making energy efficiency upgrades and purchasing renewable energy equipment. The final deadline for applications is June 16, 2008.

Here’s what the program does:

• Offers grants for up to 25% of the cost of making energy efficiency improvements – with a cap of $250,000 maximum grant ($500,000 limit for renewable energy projects).

• Offers loan guarantees for 50% of a project’s loan amount, up to $10 million per guarantee.

The Section 9006 program is tailor-made for agricultural industries. Greenhouse growers can invest in high efficiency lighting, glazing improvements, curtain walls, thermal blankets, insulation improvements, irrigation efficiency and high efficiency motors. Additionally, agricultural businesses can incorporate a number of energy efficient methodologies to their operations through assistance provided in this program.

On the renewable energy side, some greenhouses have used the program to add solar heat. Others have installed biomass boilers to displace high and rising fossil fuels costs. Several businesses have also used the program to install solar electric systems.

Learn how you can put these innovative energy programs to work. Contact Ohio’s USDA Energy Coordinator, Randy Monhemius at 614.255.2424 for additional information. You may also view information on this program by clicking USDA Farm Bill, Section 9006: Renewable Energy and Energy Efficiency Program. In these uncertain times, cutting energy costs is one of the surest investments around.

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