USDA funding to lower energy costs and create jobs in rural areas
The Administration has unveiled an investment exceeding $3 billion to advance clean energy in rural areas. The USDA’s Empowering Rural America (New ERA) Program aims to lower electricity costs while supporting President and Vice President Harris’s Investing in America strategy.
This funding includes nearly $2.5 billion designated for the Tri-State Generation and Transmission Association and nearly $1 billion for six selected rural electric cooperatives. The initiative stems from the Inflation Reduction Act, representing the largest rural electrification investment since the 1936 Rural Electrification Act.
“Since day one of his administration, President has remained committed to ensuring rural communities are directly benefitting from a clean energy economy,” noted Agriculture Secretary Tom Vilsack. This investment promises to create good-paying jobs and make energy more affordable for families across states like Arizona, New Mexico, and Colorado.
During a recent event in Westminster, Colorado, Deputy Secretary Torres Small highlighted the anticipated benefits, including a projected 10% reduction in electricity rates for cooperative members by 2034. This funding will facilitate the acquisition of renewable energy and energy storage systems, reducing climate pollution by millions of tons annually.
The USDA has also identified six rural electric cooperatives for New ERA funding, including Connexus Energy, Central Electric Power Cooperative, and others serving diverse communities across the Midwest and South. Together, they are expected to attract $6.4 billion in clean energy investments and mitigate significant greenhouse gas emissions.
Additionally, the USDA is committed to improving the quality of life in rural areas through infrastructure development and economic opportunities. The initiative is in line with the Administration's Justice40 Initiative, ensuring that 40% of federal climate benefits reach historically marginalized communities.
This substantial investment not only focuses on clean energy but also underscores the importance of rural electrification and economic growth for future generations.