USDA invests $14 Million in clean energy and domestic fertilizer projects to strengthen rural farms and businesses in Nebraska

Open Range Beef in Gordon receives $500K to enhance energy efficiency and reduce greenhouse gas emissions

U.S. Department of Agriculture (USDA) Rural Development Acting State Director for Nebraska Joan Scheel announced that the Department is investing over $14 million in renewable energy and domestic fertilizer projects to lower energy bills, generate new income, create jobs, and strengthen competition for Nebraska farmers, ranchers and agricultural producers.

“The investments being announced today (January 30) exhibit a fraction of the ways that this funding can be used, and just how wide the impact is on Nebraska’s rural small businesses, farmers and ag producers,” Scheel said. “Our staff here in the state work with folks in these industries every single day and hear about the unique needs of each to help these industry leaders save on their bottom line. Because when rural people thrive, America thrives.”

USDA is awarding $14.4 million for 60 projects in Nebraska, through the Rural Energy for America Program (REAP) and the Fertilizer Production Expansion Program (FPEP).

The REAP awards total $10.5 million for 59 projects in Nebraska. These investments will cut energy costs for farmers and ag producers that can instead be used to create jobs and new revenue streams for people in their communities.

Open Range Beef LLC has received a $500,000 grant from the USDA as part of an energy efficiency project at the packing plant located in Gordon, Neb.

The proposed project includes major upgrades to the hot-water system, including a new high efficiency boiler, beef carcass hot water pasteurization system and kill floor wash cabinet.

These improvements will significantly lower energy, water, and sewer use and greenhouse gas emissions.

Based on the energy audit completed by the Nebraska Public Power District, the proposed project will have the following efficiencies: 75% reduction in water and sewage usage and a 77% reduction of energy generated from natural gas and electricity, assuming stable utility costs.

The projected reduction in the greenhouse gas emissions is 1,582,200 pounds of carbon dioxide per year; the equivalent of taking 156 passenger vehicles off the road for good.

The $500,000 grant was the maximum award available; Open Range Beef will be funding the remainder of the project which is expected to exceed $1 million in cost.

Background The Rural Energy for America Program (REAP) provides grants and loans to help ag producers and rural small business owners expand their use of wind, solar and other forms of clean energy and make energy efficiency improvements. These innovations help them increase their income, grow their businesses, address climate change and lower energy costs for American families.

USDA continues to accept REAP applications and will hold funding competitions quarterly through Sept. 30, 2024. The funding includes a dedicated portion for underutilized renewable energy technologies. For additional information on application deadlines and submission details, see page 19239 of the March 31 Federal Register.

The Fertilizer Production Expansion Program (FPEP) provides grants to independent business owners to help them modernize equipment, adopt new technologies, build production plants and more. Funding helps boost domestic fertilizer production, strengthen competition and lower costs for U.S. farmers. FPEP is part of a broader effort to help producers boost production and address global food insecurity.