The U.S. Department of Agriculture (USDA) has announced a substantial investment in clean energy initiatives aimed at expanding access to domestic biofuels and enhancing clean energy systems in rural areas. Agriculture Secretary Tom Vilsack revealed that the USDA is allocating $99.6 million to fund 160 projects in 26 states as part of the Higher Blends Infrastructure Incentive Program (HBIIP) and the Rural Energy for America Program (REAP).
This investment, made possible through President Biden’s Inflation Reduction Act, marks the largest-ever commitment to combatting the climate crisis and underscores the administration’s dedication to fostering economic growth from the grassroots level.
Secretary Vilsack emphasized that these projects will not only bolster American energy security but also align with President Biden’s vision of revitalizing the nation’s economy by supporting farmers, ranchers, and agricultural producers.
During a visit to Minnesota, Vilsack highlighted the significance of these investments, including a $518,250 HBIIP grant awarded to The Corner Store in Inver Grove Heights to expand the sales and use of renewable fuels. This project will involve the installation of E15 and E85 dispensers along with ethanol storage tanks, aiming to significantly increase ethanol sales at the fueling station.
Moreover, the USDA is dispersing $9.2 million in REAP grants to support 71 projects in Minnesota, facilitating the adoption of wind, solar, and other clean energy solutions among farmers and small businesses. Notable examples include Raveling Outdoors LLC, which will utilize a grant to install a solar array, and Moe Family Farm LLC, which will implement an energy-efficient shop heater to reduce electricity costs.
These initiatives not only promote energy independence and combat climate change but also align with the Biden-Harris Administration’s Justice40 Initiative, ensuring that the benefits of federal climate and clean energy investments reach marginalized communities.
Additionally, the USDA is awarding $90.3 million in HBIIP grants to 89 projects in 26 states, supporting the installation and upgrade of infrastructure like fuel pumps and storage tanks. These investments are expected to stimulate economic growth in rural areas by enhancing competition in agricultural markets and lowering costs through clean energy projects.
As the USDA continues to accept HBIIP applications until September 30, 2024, these efforts underscore a commitment to advancing clean energy solutions nationwide and fostering sustainable economic development in rural communities.
Since the beginning of the Biden-Harris administration, the USDA has allocated over $220 million to increase access to biofuels at fueling stations and more than $2.2 billion towards renewable energy and energy efficiency enhancements, demonstrating a concerted effort to promote a cleaner, more sustainable future for all Americans.