Minnesota Farmers and Small Businesses Awarded Almost $2.5 Million in Renewable Energy Grants and Loans

A total of 61 farmers and rural small businesses in Minnesota have been selected to receive almost $2.5 million in grants and loans to install renewable energy systems and make energy efficiency improvements. The funding is awarded through USDA Rural Development’s Rural Energy for America Program (REAP).

“These grants and loans help Minnesota farmers and rural businesses become more efficient and competitive,” said Colleen Landkamer, State Director for Rural Development in Minnesota. “The Obama Administration is committed to making America more energy independent. This funding helps ensure that rural Minnesota remains a leader in the renewable energy field.”

Throughout the United States and the Western Pacific Islands, 365 recipients were selected to receive more than $15 million in REAP grants and loans. The REAP program was established in the 2008 Farm Bill and is not part of the American Recovery and Reinvestment Act. Examples of energy projects that qualify for funding through the REAP program include the replacement of old grain dryers, small and large wind turbines, geothermal heating, solar systems, and replacing lighting, ventilation and pumping equipment with more energy efficient models.

For example, Wallace Bustad Excavation Service in Austin was awarded an $18,000 grant to purchase a 20kw wind turbine to help offset energy costs. Mike Kunerth, a farmer in Brewster, was awarded a $16,359 grant to install a geothermal heating system in his farm shop. Prairie Sun Bank in Milan was awarded a $14,219 grant to install a 20kw wind turbine to help offset its energy costs.

Minnesota projects were awarded $1,455,467 in grants and $1,001,756 in loans. Additional information on the REAP program may be found by clicking here

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