By Scout Nelson
A strawberry farm in Isanti, Minnesota, is facing challenges in securing federal funding for a solar energy project. The farm was awarded a grant through the Rural Energy for America Program (REAP), offered by the USDA, to install a 40-kilowatt solar array. This project aimed to lower energy costs and support the local power grid.
The farm began in 2018 as part of a research project focused on extending the strawberry growing season in the Upper Midwest. It also supports research and education for small farms while producing strawberries, jams, and syrups for local markets.
In January, REAP funds were frozen due to a federal executive order, causing delays in grant disbursements. Though funds were unfrozen in March, confusion remains about whether all grant recipients will receive their promised funding.
“I started reading horror stories of farmers who had already built their arrays but were not getting reimbursed,” said the farmer.
In April, the farm received updates from the USDA that reimbursements had started. Despite concerns, they are moving forward. However, new tariffs may increase the cost of solar panels, adding further pressure on the already tight budget.
“My solar contractor informed me that once their domestic inventory is depleted, all subsequent solar projects will have increased costs due to tariffs,” the farmer added.
The grant amount cannot be adjusted to cover rising costs, adding to the farm's financial strain. They are also making payments on land purchased last year.
“I am still a bit hesitant to begin, due to federal uncertainty, grants being frozen and unfrozen every day, and the threat of solar net metering being abolished in Minnesota,” they said. “However, at a certain point you have to move forward and hope for the best.”
The REAP program remains essential in helping rural communities reduce energy costs and adopt renewable energy.
Photo Credit:istock-shansekala
Categories: Minnesota, Energy, Government & Policy