Rural Development REAP Program

The REAP/Feasibility Grant Program provides grants for energy audits and renewable energy development assistance. It also provides funds to agricultural producers and rural small businesses to conduct feasibility study for a renewable energy system.

The grants are awarded on a competitive basis and can be up to 25% of total eligible project costs. Grants are limited to $50,000 for renewable energy feasibility studies.

The program is designed to assist farmers, ranchers and rural small businesses. All agricultural producers, including farmers and ranchers, who gain 50% or more of their gross income from the agricultural operations are eligible. Small businesses that are located in a rural area can also apply. Rural electric cooperatives may also be eligible to apply.

Eligible feasibility studies for renewable energy systems include projects that will produce energy from wind, solar, biomass, geothermal, hydro-power and hydrogen-based sources. The energy to be produced includes, heat, electricity, or fuel.  For all projects, the system must be located in a rural area, must be technically feasible, and must be owned by the applicant.