For those unfamiliar with the REAP Grant, Rural Energy for America Program, the program was created to offer loans to small businesses and agricultural producers who want to use the funds to install renewable energy systems such as solar power or improve current energy efficiency. The program is operated by the USDA and offers $145 million dollars to fund 700 grants. The money received by the applicants can be used in a number of manners, including:
• Buying, installing, or building renewable energy systems
• Purchasing energy-efficient equipment
• Making improvements to energy-efficiency
• Undertaking an energy audit
• Developing renewable energy
The Big News On Applications For The REAP Grant
While the program is open and will continue to fund applicants, it has paused the acceptance of new applications as of December 31, 2024, at 4:30 PM local time for the FY 2025 funding. This temporary stoppage is due to the overwhelming demand for grant money and the massive number of applications that were already received. The program released that over 3,000 applications have been received, which is roughly twice the number that would be granted funding.
It has also been noted that the Farm Bill Applications are not impacted by this temporary pause and can continue to be submitted through March 31, 2025. The REAP IRA program is expected to reinstate acceptance of grant applications on July 1, 2025, for the funding of requests for FY 2026.
What Is The Average Value Of A REAP Grant?
The most recent information provided on the value of a REAP Grant is that applicants are getting an average of $135,000. However, the program also stated that the project scope has a significant impact on the amount awarded, and larger projects can receive up to $1M, while smaller projects are awarded a few thousand dollars. After the application is submitted for a grant, the applicant can expect to wait a few weeks to several months for the approval process to be completed; typically, the program operates on a quarterly basis, allowing for approvals throughout the year.
Are You Prepared For The July 1, 2025 Application Date?
If you are interested in learning more about the possible use of REAP funding and how to take advantage of this money to increase the energy efficiency of your business in a rural community, please contact the Solar Group today. Our staff is eager to help you understand how the installation of a solar power platform at your facility can reduce your energy cost, protect the environment, and reduce your dependency on grid power supplies that can be less than dependable.
Our team will assist you in every phase of this project, from your initial exploration of options to selecting the ideal locations for solar panels and components on your property. Please take a moment to gather more information on our website and compile your list of questions that our expert team can answer when you call to schedule a consultation to consider harnessing the power of the sun to increase the profitability and sustainability of your rural business or farm.
