Search Grant Opportunities

Powering Affordable Clean Energy

ID: RUS-PACE-2023 • Type: Posted

Description

The Powering Affordable Clean Energy (PACE) program is part of the Inflation Reduction Act. With $1 billion in funding, PACE helps make clean, affordable, and reliable energy accessible to the people of rural America. Under PACE, USDA Rural Development's Rural Utilities Service (RUS) will forgive up to 60 percent of loans for renewable energy projects that use wind, solar, hydropower, geothermal, or biomass, as well as for renewable energy storage projects.

The PACE program allocates funding across three applicant categories:

(a) Category 1: Provides up to 20 percent total loan forgiveness.

(b) Category 2: Up to 40 percent total loan forgiveness if 50 percent or more of the population served by the proposed service area is located within the following areas: (1) Energy Communities; or (2) Distressed or Disadvantaged Communities.

(c) Category 3: Provides up to 60 percent total loan forgiveness if: (1) The proposed service area is located in Puerto Rico, United States Virgin Islands (USVI), Guam, American Samoa or other U.S. territories or Compact of Free Association (COFA) states; or (2) The proposed service area consists of 60 percent or more of a Tribal area or serves an area that constitutes a SUTA; or (3) The Project is owned by an Indian Tribe defined by the Federally Recognized Indian Tribe List Act of 1994 (Public Law 103-454; 108 Stat. 4791, 4792), including their wholly owned arms and instrumentalities, or an Alaska Native Corporation, including regional or village corporations, as defined under or established pursuant to the Alaska Native Claims Settlement Act (Public Law 104-42; 85 State. 688).

Background
The Powering Affordable Clean Energy (PACE) program is part of the Inflation Reduction Act. With $1 billion in funding, PACE helps make clean, affordable, and reliable energy accessible to the people of rural America. The goal of the PACE Program is to support clean, affordable energy growth across America.

Grant Details
Under PACE, USDA Rural Development’s Rural Utilities Service (RUS) will forgive up to 60 percent of loans for renewable energy projects that use wind, solar, hydropower, geothermal, or biomass, as well as for renewable energy storage projects. The program allocates funding across three applicant categories: Category 1 provides up to 20 percent total loan forgiveness; Category 2 provides up to 40 percent total loan forgiveness if certain conditions are met; and Category 3 provides up to 60 percent total loan forgiveness under specific circumstances.

Eligibility Requirements
Eligible entities include for-profit organizations, state or local governments, Indian Tribes, Alaska Native Corporations, nonprofits, institutions of higher education, community-based organizations, distribution electric cooperatives, and generation and transmission electric cooperatives. Applicants are encouraged to work with Distressed and Disadvantaged Communities, Energy Communities, Puerto Rico, the United States Virgin Islands (USVI), Guam, American Samoa or other U.S. territories or Compact of Free Association (COFA) states, tribal entities, and Rural Partners Network (RPN) communities.

Period of Performance
The performance period is five years from the date of environmental clearance but no later than September 30, 2031.

Grant Value
The program has $1 billion available in appropriated funds through September 30, 2031. RUS expects to have approximately $2.7 billion available to lend for the PACE Program based on projected subsidy rates.

Place of Performance
Projects must provide electricity generated or stored from facilities to 'rural and nonrural residents' in eligible service areas.
Show All

Overview

Agency
Rural Utilities Services (RUS) [USDA - RHS - HQ]
Category of Funding
Other (see text field entitled "Explanation of Other Category of Funding Activity" for clarification)
Funding Instruments
Other
Grant Program (CFDA)
10.757 - Powering Affordable Clean Energy (PACE) Program
Grant Category
Discretionary
Cost Sharing / Matching Requirement
True
Source
Grants.gov
On 7/10/23 Rural Utilities Services posted grant opportunity RUS-PACE-2023 for Powering Affordable Clean Energy. The grant will be issued under grant program 10.757 Powering Affordable Clean Energy (PACE) Program.

Timing

Posted Date
July 10, 2023, 12:00 a.m. EDT
Closing Date
Sept. 29, 2023, 12:00 a.m. EDT Past Due
Last Updated
July 10, 2023, 11:35 a.m. EDT
Version
7
Archive Date
Dec. 29, 2023

Eligibility

Eligible Applicants
Others (see text field entitled "Additional Information on Eligibility" for clarification)
Additional Info
RUS will accept Letters of Interest from the following entities: (a) For-profit organizations.(b) State or local governments.(c) Indian Tribes defined by the Federally Recognized Indian Tribe List Act of 1994 (Public Law 103-454; 108 Stat. 4791, 4792), including their wholly arms and instrumentalities.(d) Alaska Native Corporations, including regional or village corporations as defined under or established pursuant to the Alaska Native Claims Settlement Act (Public Law 104-42; 85 State. 688) (e) Nonprofits. (f) Institutions of higher education.(g) Community-based organizations, distribution electric cooperatives, and generation and transmission electric cooperatives.

Award Sizing

Ceiling
$100,000,000
Floor
$1,000,000
Estimated Program Funding
Not Provided
Estimated Number of Grants
Not Listed

Contacts

Contact
Tasha Deardorff Grantor
Contact Email
sm.rd.rus.ira.questions@usda.gov   Profile
Email Description
RUS PACE email account
Contact Phone
(202) 770-7253
Additional Information
RUS PACE website
Additional Information Site
https://www.rd.usda.gov/programs-services/electric-programs/powering-affordable-clean-energy-pace-program

Documents

Posted documents for RUS-PACE-2023

Potential Applicants and Partners

Awardees that have recently won grants similar to RUS-PACE-2023

Incumbent or Similar Grants

Similar Active Opportunities

Open grant opportunities similar to RUS-PACE-2023