USDA – High Energy Cost Grant Program

Incentive Type:Grant Program
Energy, Technology, Infrastructure
Eligible Sector:
Financial Incentive
Time Period:
FY 2015
Governing Body:USDA Rural Utilities Service
What’s it worth?:$3 million

USDA’s High Energy Cost Grant Program is aimed to lower energy cost for households in areas with per-household energy cost over 275% the national average or higher. This is an effort to increase economic opportunities and improve the quality of life for rural communities.

Participants must have authority to provide, construct, operate and maintain facilities enrolling in the program. Only public service facilities may be receiving federal funds. Retail power suppliers providing services in qualifying rural areas may apply; these providers include:

  • State and local governmental entities
  • Federally recognized Tribes
  • Nonprofits
  • For-profit businesses

Funds from these grants may be used to finance acquisitions, constructions, and improvements of facilities within the defined areas. Projects may include:

  • Electric generation, transmission, and distribution facilities
  • Natural gas distribution and storage facilities
  • Petroleum product storage and handling facilities
  • Renewable energy facilities
  • Backup or emergency power generation or energy storage technology

To get started in the program eligible participants should email or contact the Rural electric program staff. Necessary forms can be found on the USDA website.