Farm Energy

President Obama’s proposed 2011 budget slates Farm Bill clean energy programs for some needed growth. The Administration released its budget in early February, and in it the President boosts next year’s funding level for REAP to its highest level ever: $109 million. The budget adds $39 million of discretionary funding on top of the $70 million in “mandatory” funding in the 2008 Farm Bill.

In addition, the Obama budget provides $15 million for the Forest Biomass for Energy Program and $5 million for the Community Wood Energy Program, as authorized by the 2008 Farm Bill. The Community Wood Energy Program provides grants for rural communities to install wood energy systems in community facilities. The Forest Biomass for Energy Program provides for research on use of low-value forest biomass. Neither of these programs has received any funding since their inception in the 2008 Farm Bill.

In addition, the President’s budget calls for a small increase to the Biorefinery Assistance grant and loan guarantee program, adding $17 million.

Learn more about Farm Bill energy programs here. (more…)

Good news on a key funding victory for the Farm Bill Energy Title! On October 16, 2009, the President signed the 2010 agriculture appropriations budget into law. The bill significantly increases the Rural Energy for America Program’s (REAP) total funding by adding an additional $39.34 million in discretionary funding to the program. That funding, in combination with the $60 million in mandatory funding for next year, increases total REAP funding to $99.34 million.

The President’s action is a victory for the Environmental Law and Policy Center and other groups supporting farm clean energy development throughout the country. REAP has grown from $0 to $23 million to nearly $100 million next year. It is now hitting stride with demonstrable economic, environmental and carbon-reduction benefits.

REAP and other energy programs in the Farm Bill help farmers and rural businesses invest in locally-owned energy projects and spurs rural economic development, while helping America tackle global warming challenges.

Our 2010 Farm Bill Clean Energy appropriations chart summarizes the current funding for all Energy Title programs and compares funding to 2009 levels.

Farm energy solutions are helping more American farmers, ranchers and rural small businesses realize new income and savings opportunities this year, while reducing carbon pollution and helping our environment. REAP is “Exhibit A” in how farm energy can both slash carbon pollution and create economic opportunity for agriculture.

To help meet the fast-growing interest in farm energy, Congress allocated a total of $60 million for REAP in FY2009, and more funding is possible next year. Even so, demand for REAP’s funds far exceeds available funding.

This year, USDA announced record awards for 2009 for the Rural Energy for America Program (REAP). USDA awarded these funds as grants and loan guarantees to over 1,500 farmers, ranchers and rural small businesses across the country for renewable energy and energy efficiency projects. (more…)

Below please find the REAP awards as of September 25, 2009. This is not the full list and more are expected to come from the state allocations.

Secretary of Agriculture Tom Vilsack recently visited the Flick Seed Company and Show Me Energy Cooperative as part of the Obama Administration’s Rural Tour. Secretary Vilsack praised the operation as a model to “create new opportunities in rural communities and new markets for farm products.”

Shortly after Secretary Vilsack’s visit, Show Me Energy Cooperative became the first in the nation to be approved under the USDA’s Biomass Crop Assistance Program (BCAP), providing a working model for sustainable biomass energy. Flick and his partners have developed an agricultural enterprise that provides jobs and increased income for growers – all while helping to slow global warming. (more…)

Another key funding victory for the Farm Bill Energy Title! On August 4, 2009, the full U.S. Senate passed the FY 2010 Agriculture appropriations budget. The Senate’s budget doubles total REAP funding by adding an additional $68.1 million in discretionary funding, and boosts the Biorefinery Assistance Program funding by $17.339 million. The Senate’s vote endorsed the earlier Senate Appropriations Committee’s FY 2010 budget proposal.

By adding $68.1 million in discretionary funding, the Senate’s proposal would boost total REAP funding for next year to $128.1 million ($60 million in mandatory funding + $68.1 million in discretionary funding).

(more…)