Rural Development

REAP Grants for Farmers & Rural Businesses

The Rural Energy for America Program (REAP) from USDA Rural Development is a great opportunity for Minnesota farmers and rural businesses to save energy with efficiency work and add renewable energy systems.

How does REAP work?

Due to the Inflation Reduction Act and an infusion of funds, REAP is changing!

Grant and loan applications are open for fiscal years 2023 and 2024 with the following deadlines:

  • June 30, 2023
  • September 30, 2023
  • December 31, 2023
  • March 31, 2024
  • June 30, 2024
  • September 30, 2024


  1. For Grants: Grants can cover up to 50% of eligible project costs. Renewable Energy System Grants $2,500-1 million, Energy Efficiency Grants $1,500-500,000.
  2. For Loans: Loans can cover up to 75% of eligible project costs. 
  3. Combined grant and loan guarantee funding up to 75% of total eligible project costs.

Are you eligible?

  • All farms who make at least 50% of their gross income from agricultural production are eligible for REAP.
  • Other farms and rural small businesses that are located in communities with populations less than 50,000 are also eligible.

See eligibility

Video: Applying for a USDA REAP grant

Need an energy audit?

As part of the REAP application process you’ll need to get an energy audit. If you haven’t gotten one before, watch the video below to learn more. Talk to your electric utility about whether or not they provide audits and who they recommend.

Video: Getting a farm energy audit

Other options from Minnesota Department of Agriculture

You might also consider applying for the Livestock Investment Program Grant and a Farm Opportunity Loan from the Minnesota Department of Agriculture.