---
title: Rural Energy for America Program
description: The program provides guaranteed loan financing and grant funding to agricultural producers and rural small businesses for renewable energy systems or to make energy efficiency improvements!
image: https://grantmatch.com/hubfs/Program%20Image%20%2841%29.png
---

Federal Grants

# Rural Energy for America Program

The program provides guaranteed loan financing and grant funding to agricultural producers and rural small businesses for renewable energy systems or to make energy efficiency improvements!

[ GrantMatch Team ](https://grantmatch.com/en-us/hot-new-programs/author/grantmatch-team)

 Apr 18, 2023

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![Rural Energy for America Program](https://grantmatch.com/hubfs/Program%20Image%20%2841%29.png)

## $1 Million AVAILABLE in funding for renewable energy in rural america!

This program provides guaranteed loan financing and grant funding to agricultural producers and rural small businesses for renewable energy systems or to make energy efficiency improvements. Agricultural producers may also apply for new energy efficient equipment and new system loans for agricultural production and processing.

### Funding Overview

The loan guarantee percentage is published annually in a Federal Register notice. REAP loans approved in Fiscal Year 2023 will receive an 80 percent guarantee.

- Loan guarantees on loans up to **75 percent** of total eligible project costs.
- Grants for up to **50 percent** of total eligible project costs.
- Combined grant and loan guarantee funding up to **75% of total** eligible project costs.

#### Renewable Energy System Grants

- **$2,500 **minimum.
- **$1 million** maximum.

#### **Energy Efficiency Grants**

- **$1,500 **minimum.
- **$500,000** maximum.

### Eligible Applicants 

- Agricultural producers 
    - An entity directly engaged in production of agricultural products where at least 50 percent of their gross income coming from agricultural operations.
- Small businesses 
    - Must be located in eligible rural areas and one of the following: 
          - Private for-profit entity (sole Proprietorship, Partnership, or Corporation)
          - A Cooperative [including those qualified under Section 501(c)(12) of IRS Code]
          - An electric utility (including a Tribal or governmental electric utility) that provides service to rural consumers and operates independent of direct government control)
          - A Tribal corporation or other Tribal business entities that are chartered under Section 17 of the Indian Reorganization Act (25 USC 477) or have similar structures and relationships with their Tribal entity without regard to the resources of the Tribal government.
- Must meet the Small Business Administration size standards in accordance with 13 CFR 121.

### Eligible Activities

Funds may be used for the purchase and installation of renewable energy systems, such as:

- Biomass (for example: biodiesel and ethanol, anaerobic digesters, and solid fuels).
- Geothermal for electric generation or direct use.
- Hydropower below 30 megawatts.
- Hydrogen.
- Small and large wind generation.
- Small and large solar generation.
- Ocean (tidal, current, thermal) generation.

Funds may also be used for the purchase, installation and construction of energy efficiency improvements, such as:

- High efficiency heating, ventilation and air conditioning systems (HVAC).
- Insulation.
- Lighting.
- Cooling or refrigeration units.
- Doors and windows.
- Electric, solar or gravity pumps for sprinkler pivots.
- Switching from a diesel to electric irrigation motor.
- Replacement of energy-inefficient equipment.

Deadline

June 29, 2023

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