Yesterday was the second of three scheduled information sessions to educate Massachusetts farmers about financial incentives that can help them afford solar installations and other renewable energy and energy efficiency projects. Hosted by the Mass Farm Energy Program (MFEP), the sessions provide in-depth coverage of state and federal programs that can help your farm (or, for some incentives, rural small business) reduce energy costs.
Held at the UMass Cranberry Station in Eastern Mass, yesterday’s session was presented by representatives from a mix of state and federal agencies. The session included information on:
MFEP Services
If you’re a farmer in the state and don’t know about these guys, it’s time to give them a call. Bringing together state, federal, and private sector resources, MFEP provides both financial and technical assistance to farmers interested in energy improvements. The project aims to increase energy efficiency and on-site renewable energy generation, helping farmers reduce their energy bills, become more profitable, and reduce greenhouse gas emissions. MFEP can help you identify which programs may be right for your farm and will help you apply for them. They even provide some energy auditing, renewable energy assessment, and grant writing services.
USDA Rural Energy for America Program (REAP) grant and loan guarantees
The Department of Agriculture’s biggest single incentive program for rural energy improvements, many Massachusetts farmers may be eligible for these funds. Available as pure grants, guaranteed loans, or a combination thereof, REAP funds can help a small farmer install solar panels, wind turbines, biomass systems, and more.
USDA Environmental Quality Incentives Program (EQIP)
A program of the National Resources Conservation Services (NRCS), EQIP aims to improve on-site environmental qualities like soil, water, and air. As NRCS says, “Air quality is inherently related to energy because most energy production methods create emissions that negatively impact our air quality”. That’s why EQIP funds will help pay for solar installations and other renewable energy projects. A project may only receive funding from one USDA agency at a time, which is where MFEP comes in by helping you choose which program will be best for you.
Biomass Crop Assistance Program
This is a USDA Farm Service Agency program that can help farmers get a better price for any agricultural product they sell as biomass (like wood pellets).
Massachusetts Renewable Energy Incentives
- Solar Rebate: Massachusetts solar rebates proved so popular in their first incarnation that the state flew through its funds way ahead of schedule, leaving solar homes and businesses stagnating for months last year as the state scrambled to find more funding and a new structure. With help from ARRA funding, the Commonwealth Solar II (for solar installations up to 5 kw) and Commonwealth Solar Stimulus (for solar installations 5-200 kw) were born.
- RECs: While technically, you’ve been able to sell the Renewable Energy Credits attached to your solar array for years in the state, that hasn’t been much of a financial incentive since the going rate was as low as $0.03/kWh. Now, the state’s new solar credit purchasing mandate has set a minimum for solar RECs of an outstanding $0.30/kWh. While it’s not as potentially lucrative as New Jersey’s market-based system (where prices often go as high $0.60-.65/kWh), it’s a huge step forward for the state’s solar industry. Solar homes, solar farms, solar businesses–they can all participate.
Tax Credits
The federal investment tax credit, equal to 30 percent of the cost of most renewable energy projects, is a cornerstone of financing any solar installation. This is an often misunderstood incentive and you’ll be grateful for the chance to hear it clearly explained in person. Massachusetts also offers some tax incentives to encourage solar installations, though nothing as substantial as the ITC.
Sorry you missed out? You can still catch the last session next week in Amherst, MA, scheduled for 9:30-12:30pm on Friday, January 19th. Contact Emily Boss of the Mass Woodlands Cooperative to reserve a space.
Help the farmers! In addition to providing us with food, the farmers could provide some of the energy to power our cars and homes. We need to make sure the farmers are able to afford to keep up with current technology so we all can work to become energy independent.