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USDA Grants Under the Inflation Reduction Act

11/25/2024

The USDA has followed a policy of extensive support of small-scale farmers, “clean energy” projects and for “underserved” communities.

 

In a recent release, USDA identified distribution of more than $20 billion iunder the misnamed Inflation Reduction Act. Funds were allocated to:

 

  • $4 billion in conservation funding to promote “climate-smart practices”

 

  • Support of 7,000 farmers and rural businesses to develop clean energy and energy efficiency installations.

 

  • Assignment of $8.3 billion in grants to support transformation of rural electric cooperatives to solar and wind powered generation, claimed to supply 10 gigawatts annually.

 

  • $2.6 billion to reduce risk of wildfire on 1.8 million acres.

 

  • $1.5 billion for urban and community forestry programs with special emphasis on disadvantaged communities.

 

  • $3 billion assigned to the Partnership for Climate-Smart Commodities involving 21,000 farms.

 

Over the past four years the USDA has attempted to restructure the meat production industry and reduce the use of carbon-based fuels with little evidence of major changes. The USDA refers to grants as “investments”.  This presumes a quantifiable return on the capital allocated. There is apparently little oversight over projects or the evaluation of their effectiveness.