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  • Writer's pictureMarkus Virta

REAP Grants

The Rural Energy for America Program (REAP) provides grants to agricultural producers and rural small businesses to install renewable energy systems or make energy efficiency improvements. To qualify for a REAP grant for a solar project, the following criteria must be met:

  1. The project must be located in a rural area.

  2. The applicant must be an agricultural producer or a rural small business.

  3. The solar project must be used for agricultural production or small business operations.

  4. The solar project must have a capacity of less than 25 megawatts.

  5. The applicant must provide a feasibility study or an energy audit report that demonstrates the potential for energy savings or renewable energy generation.

  6. The project must comply with all applicable federal, state, and local laws and regulations.

If the solar project meets these criteria, the applicant may be eligible for a REAP grant to cover up to 40% of the eligible project costs.

The deadlines for REAP project grant applications vary depending on the type of project and the funding cycle. Generally, there are two funding cycles per year for REAP grants, with deadlines typically falling in the spring and fall.

The exact deadline dates for each funding cycle are announced annually by the USDA Rural Development agency, which administers the REAP program. Typically, the application period opens several months before the deadline, giving applicants time to prepare and submit their proposals.

It is important to note that the REAP program is highly competitive, and applications are evaluated on a rolling basis until all available funding has been awarded. Therefore, it is recommended that applicants submit their proposals as early as possible to increase their chances of receiving funding.

What funding is available?

  • Loan guarantees on loans up to 75 percent of total eligible project costs.

  • Grants for up to 40 percent of total eligible project costs.

  • Combined grant and loan guarantee funding up to 75% of total eligible project costs.

What are the grant terms? Renewable Energy System Grants:

  • $2,500 minimum.

  • $1 million maximum.

Energy Efficiency Grants:

  • $1,500 minimum.

  • $500,000 maximum.

Are there additional requirements?

  • Applicants must provide at least 60 percent of the project cost if applying for a grant only.

  • Applicants must provide at least 25 percent of the project cost if applying for loan.

  • All projects must have technical merit and utilize commercially available technology.

  • Energy efficiency projects require an energy audit, feasibility study, or assessment.

Helpful Links:

Interested in REAP or other grants to help get your clean energy project off the ground?

Let's keep the conversation going! Click here to get in touch.

- Markus and Callum


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