US Department of Agriculture to invest US$6 billion in clean energy across rural US

Facebook
Twitter
LinkedIn
Reddit
Email
The investment round will cover 30 US states for the development of solar PV and BESS projects among others. image: Unsplash

The US Department of Agriculture (USDA) has invested over US$6 billion through several of its programmes for the development of renewable energy in rural US.

These programmes are Empowering Rural America (New ERA) and Powering Affordable Clean Energy (PACE) with investments in rural communities across 30 US states which will benefit from clean and affordable energy – including solar PV and energy storage, while also creating jobs.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Most of the investments will go to New ERA, which will receive over US$5.49 billion in grants and loans to finance 28 clean energy projects across 21 states.

Among the projects receiving funding from the USDA is a 200MW solar PV plant from Seven States Power Corp, an energy solutions cooperative which includes 153 local power companies across seven states of the Tennessee Valley.

Great River Energy, an electric transmission and generation cooperative will receive a US$794 million investment to procure over 1.2GW of renewable energy in rural areas across Minnesota and North Dakota. Among the projects included in the procurement are distributed renewable energy.

With this latest round of investments, the USDA has awarded nearly all (90%) of its available funding for New ERA to benefit rural electric cooperatives with US$9 billion of the programme’s US$9.7 billion budget.

“In just two years, the New ERA and PACE programs have created dozens of new partnerships with rural electric cooperatives and communities that will reduce pollution, create jobs and make clean energy more affordable for millions of rural Americans,” Agriculture Secretary Tom Vilsack said.

“These investments we’re making today will continue to support the health, prosperity and well-being of rural Americans for generations to come.”

US$565 million for PACE investments

For PACE investments, the USDA is providing nearly US$565 million in partially forgivable loans to finance 26 clean energy projects across 17 US states.

This includes the development of solar PV facilities and a battery energy storage system (BESS) totalling 30.75MW of renewable energy in rural parts of Arizona and new Mexico; a 4.5MW solar PV system in Kentucky or a 10MW BESS in rural Michigan.

Under the PACE programme, the USDA has already allocated over US$1.6 billion in partially forgivable loans of PACE program funds for clean energy projects serving rural Americans.

7 October 2025
San Francisco Bay Area, USA
PV Tech has been running an annual PV CellTech Conference since 2016. PV CellTech USA, on 7-8 October 2025 is our third PV CellTech conference dedicated to the U.S. manufacturing sector. The events in 2023 and 2024 were a sell out success and 2025 will once again gather the key stakeholders from PV manufacturing, equipment/materials, policy-making and strategy, capital equipment investment and all interested downstream channels and third-party entities. The goal is simple: to map out PV manufacturing in the U.S. out to 2030 and beyond.
21 October 2025
New York, USA
Returning for its 12th edition, Solar and Storage Finance USA Summit remains the annual event where decision-makers at the forefront of solar and storage projects across the United States and capital converge. Featuring the most active solar and storage transactors, join us for a packed two-days of deal-making, learning and networking.
16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2027 and beyond.

Read Next

June 30, 2025
Heliene has completed the sale of Section 45X Advanced Manufacturing Production Tax Credits in association with Minnesota-based U.S. Bank.
June 30, 2025
Voting on the US tax reconciliation bill is expected to begin in the Senate today, following a draft published on Friday that hit clean energy tax credits hard.
June 30, 2025
US clean energy developer Clearway Energy Group has received corporate credit facilities over US$1 billion.
June 26, 2025
A round-up of news from the US solar sector this week, including Akuo, Meta and RWE.
June 26, 2025
A group of minority shareholders in Norwegian silicon firm REC Silicon has triggered an investigation into the circumstances surrounding the closure of the company’s US polysilicon production site.
June 26, 2025
Adapture Renewables and Meta have signed two EAPAs that will see the latter acquire power from a 360MW Texas solar portfolio.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
June 30, 2025
10am PST / 6pm BST
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 1, 2025
London, UK
Media Partners, Solar Media Events
July 2, 2025
Bangkok, Thailand
Media Partners, Solar Media Events
September 2, 2025
Mexico City, Mexico