A REVIEW OF AGRICULTURAL ENERGY EFFICIENCY PROGRAMS: MOVING FORWARD FROM THE 2002 FARM BILL
The 2002 Farm Bill, which sunsets this year, included two important provisions within the energy title. Section 9005 was established to provide funding to organizations that serve the agricultural sector, such as on-farm energy audits, while Section 9006 provided grants and loan guarantees to farmers, ranchers and rural small businesses for the purchase of renewable energy systems and energy efficiency improvements. At that time the decision was made to only fund 9006, as conventional wisdom dictated that states would “step up” and create the programs needed to help farmers take advantage of available funds.
This week, ACEEE is releasing a follow-up to the 2005 survey of energy efficiency programs in agriculture. The new report, “Agricultural Energy Efficiency Infrastructure: Leveraging the 2002 Farm Bill and Steps for the Future,” looks at a sample of the many energy efficiency programs in the agricultural sector and how they relate to the Farm Bill. The report concludes that although Section 9006 was highly successful in states with existing programs, the funds were under-utilized in states that lacked similar constructs and very few new programs were developed.
In the next few months it is expected that a new Farm Bill will be passed, expanding both Sections 9006 and 9005, and that funding will be appropriated for each.
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