Rural Energy for America Program (REAP) Loan Guarantees

USDA guarantees on lender loans that finance renewable energy systems or energy efficiency improvements for agricultural producers and rural small businesses.

Run by

U.S. Department of Agriculture, Rural Development

Funding

Amount varies

Loan guarantees up to 75% of total eligible project costs; no dollar cap stated. Terms up to 40 years. Fees: 1% initial guarantee fee, 0.25% annual retention fee.

Your share

Borrower must provide at least 25% of project cost

Who can apply

• Agricultural producers (50%+ of gross income from agriculture) or rural for-profit small businesses meeting SBA size standards
• Rural area: population of 50,000 or less (producers may have non-rural projects)
• Individual borrowers must be U.S. citizens or permanent residents
• Biodigester and controlled environment agriculture applications are paused

How to apply

Ask a lender to apply for the guarantee through your local USDA Rural Development office.

Timing

Loan guarantee applications accepted year-round through local USDA offices.

Last checked

2026-10-11

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