Farm Energy

Thursday, April 26, 2012

FOR IMMEDIATE RELEASE

ELPC Commends Senate Agriculture Committee Support of Homegrown Energy

WASHINGTON – The Senate Agriculture Committee took an important step to support America’s farmers, renewable homegrown energy, rural development and national security by funding core energy programs through a Farm Bill amendment passed today.

“We commend Chairwoman Sen. Debbie Stabenow (D-Mich.) and the bipartisan group of 11 Senators who supported a bipartisan amendment supporting mandatory funding for programs that reduce dependence on polluting fossil fuels and help farmers cut energy costs and produce innovative renewable energy for America,” said Andy Olsen, Senior Policy Advocate with the Environmental Law & Policy Center.

“The state of the economy and our continuing energy challenges underscore the need for programs like the REAP (Rural Energy for America Program) and  BCAP (Biomass Crop Assistance Program) which generate rural development and provide a safety net to farmers,” Olsen said.

“We thank the energy title supporters, Senators Kent Conrad (D-N.D.), Richard Lugar (R-Ind.), Tom Harkin (D-Iowa), Ben Nelson (D-Neb.), Michael Bennet (D-Colo.), Sherrod Brown (D-Ohio), Amy Klobuchar (D-Minn.), John Thune (R-S.D.), Bob Casey (D-Pa.), John Hoeven (R-N.D.), and Charles Grassley (R-Iowa) for their support of an Energy Title amendment that provides mandatory funding of these core energy programs,” Olsen added.

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The Environmental Law & Policy Center is the Midwest’s leading environmental legal advocacy and eco-business innovation organization.

(Video at end of page)

ELPC and the Environmental and Energy Study Institute (EESI) gathered experts on agriculture and clean energy development in Washington on Tuesday, July 19 to address the Rural Energy for America Program (REAP) and other Farm Bill energy programs. Speaking to over 150 staffers and stakeholders in separate House and Senate briefings, they explained the broad benefits of these programs for farmers, businesses, economic development and national energy security policy.

Michigan Senator Debbie Stabenow, Chairwoman of the U.S. Senate Agriculture, Nutrition and Forestry Committee, recently highlighted the importance of the Rural Energy for America Program (REAP) for energy creation and job growth. In this article, published on June 30, 2011 in the Huron Daily Tribune, she explained how REAP and other Farm Bill energy initiatives are helping farmers and rural small businesses invest in clean energy projects and boosting job creation and employment.
From the Huron Daily Tribune 06/30/2011

(Feb 28, 2011) USDA recently issued interim final rules for two Energy Title programs in the 2008 Farm Bill: Repowering Assistance Payments to Eligible Biorefineries, and the Advanced Biofuel Payment Program.

USDA is accepting comments on the rules through April 12, 2011. However, by issuing the rules as “interim final rules” rather than “proposed rules,” the Department can implement the regulations now, and then adjust them as necessary after receiving comments.

Repowering Assistance for Eligible Biorefineries

This program implements Section 9004 of the 2008 Farm Bill, Repowering Assistance. Its purpose is to help to “green” ethanol plants with funding for existing facilities to convert their on-site power plants from fossil fuel to renewable biomass. The carbon savings can be significant, with larger plants reducing greenhouse gases by 100,000 tons or more annually. The 2008 Farm Bill committed $35 million in funding for Repowering Assistance.

ELPC commented extensively on USDA’s first proposal for Repowering Assistance, and we are pleased that the Department has agreed in whole or in part with most of our recommendations. For example, the rule largely drops the “rural restriction” requirement that plants had to be located in rural areas.

However, we remain concerned that the program does not sufficiently reward the greatest carbon reductions in funding proposals, so we will comment on the interim final rule as well.

The Interim final Rule is available here, and comments are due April 12, 2011. Please feel free to contact Andy Olsen at ELPC if you have any questions about the Repowering Assistance Program.

Advanced Biofuel Payment Program

This program implements Section 9005 of the 2008 Farm Bill, the Bioenergy Program for Advanced Biofuels. Its purpose is to encourage production of lower-carbon biodiesel and cellulosic ethanol. Corn starch ethanol is not eligible. It offers production payments for biofuels based on several factors, and we expect that most of this funding will be used for soy biodiesel in the first several years of the new Farm Bill, along with some funding for other oilseed crops. The 2008 Farm Bill included $300 million in mandatory funding for this program.

Key points in the Interim Final Rule include:

• Two-tier payments for both total annual production and yearly increases, with the incentive first prioritizing total production and then, by 2013, equally dividing the incentive payments between total and incremental production.
• Discouraging use of forest biomass in several ways, notably by limiting payments for fuels produced from forest biomass to only 5 percent of total annual funding.
• Encouraging carbon savings with a “BTU bonus” for biofuels that meet U.S. EPA renewable fuels standard (RFS) requirements.

 The Interim final Rule is available here, and comments are due April 12, 2011.

Come to a meeting to learn about REAP, the Rural Energy for America Program. Renewable energy and energy efficiency projects can cut your costs or generate new income. USDA’s REAP program provides grants and loan guarantees to farmers, ranchers and rural small businesses nationwide. Some use REAP incentives to upgrade to more efficient ventilation, pumps, coolers, insulation, or heating and cooling systems. Others now generate their own energy with solar panels, wind turbines, biogas or biofuels.

Hundreds of farmers, ranchers and rural small businesses are making greater profits and slashing energy costs with REAP.

Join the Environmental Law & Policy Center, the South Dakota Famer’s Union, River Electric Power Cooperative and your local Touchstone Energy Cooperatives to learn how you can take advantage of REAP.

At the meetings, experts will share important information about program eligibility, energy audits, and other specifics about applying. There will be opportunities to ask questions about REAP and find out if it’s right for specific farms, businesses or communities.

The REAP was included in the 2008 Farm Bill and is administered through the United States Department of Agriculture (USDA). REAP provides grants and loan guarantees to farmers and rural small businesses for renewable energy (bioenergy, geothermal, hydrogen, solar, wind and hydro power) and energy efficiency projects.

Meeting Dates and Locations:

Tuesday, December 14

1:00 p.m. – 3:00 p.m.
Codington County Electric Cooperative
3520 9th Ave SW
Watertown, SD

Wednesday December 15

1:00 p.m. – 3:00 p.m.
Swiftel Center
824 32nd Ave
Brookings, SD

Thursday December 16

1:00 p.m. – 3:00 p.m.
Beresford Public Library
115 S. 3rd St
Beresford, SD

On December 15, 2010, the Environmental Law & Policy Center and USDA Rural Development’s North Dakota office presented a webinar on REAP, the Rural Energy for America Program. Renewable energy and energy efficiency projects can cut your costs or generate new income. USDA’s REAP program provides grants and loan guarantees to farmers, ranchers and rural small businesses nationwide. Some use REAP incentives to upgrade to more efficient ventilation, pumps, coolers, insulation, or heating and cooling systems. Others now generate their own energy with solar panels, wind turbines, biogas or biofuels.

Hundreds of farmers, ranchers and businesses are making greater profits and slashing energy costs with REAP.

Mindi Grieve of the Environmental Law & Policy Center and Dennis Rodin of USDA’s Office of Rural Development explained the program and answered questions.  You can listen to the webinar and view slides from the discussion to learn how you can use REAP to make your energy efficiency or renewable energy project a reality.

Webinar Recording

USDA REAP Presentation

ELPC REAP Success Stories and Application Tips