Kuipers explained that REAP grants can offset up to 25% of the costs of installing energy conservation measures. "Every agricultural producer or greenhouse grower that generates at least 50% of their gross income from the sale of agricultural products are eligible to to compete for these grant funds.Even growers that are not located in rural area's, but who are in the middle of a city, are eligible."
By sharing their incentive expertise, BioTherm is able to help greenhouse growers understand if their project is eligible to secure a USDA REAP grant. They can analyze the business, calculate the ROI and energy savings of certain improvements and determine if your plans are eligible for the incentive. According to Kuipers, most projects that realize energy reduction at the grower are eligible for a REAP grant. "The main goal of this program is to essentially increase energy efficiency of existing operations, or to add renewable energy."
Kuipers gave us a top five of the most common projects that realize energy reduction and that are eligible for REAP grants. These are the most popular replacements, as they are typically big dollar projects for growers.
- Replacing unit heaters with a hot water system with bottom heat.
- Replacing older styled boilers like fire-tube combustion boilers with condensing boilers or hybrid type of systems.
- Condensing unit heaters.
- Installing energy curtains or replacing old worn screen material.
- Renewable energy installations like biomass heaters.
According to Kuipers, new construction and building an additional acreage is usually not an eligible type of project for this program. "There is an exception however, If a grower has tunnel farms or hoop houses that consume a lot of energy, and they can be replaced with more energy efficient greenhouses that have the same footprint, it can be eligible to apply for a grant. The USDA will not pay for the structure itself, but you can apply for a grant for energy conservation measures inside that new structure like screening systems."
Depending on the grower, the grants that are available can realize up to 25% financing. But the paperwork to apply can be very complicated. "We have a lot of experience with this program, so we know what we need to do apply for a grant. And sometimes we also know when it is better to not apply for a certain grant, or when it is better to just apply for a smaller part of financing."
2nd deadline
June 30 is the deadline to apply for the REAP grant. But if you do not have enough time to make a decision of your plans before June 30, there is another deadline later this fall. "It can be very difficult for a grower to actually make all of the decisions and file an application right before this deadline. The date of a second deadline has been not yet announced, but there will be another deadline this fall, so every grower will have a chance to get it's ducks in a row and submit a solid application for the USDA REAP."For more information:
Biotherm
Dan Kuipers
Account Executive and Grant and Incentive Specialist
(800) GET - HEAT
dkuipers@biothermsolutions.com
www.biothermsolutions.com