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News Section 9006 Program Funds for Renewable Energy Systems and Energy Efficiency Improvements This message is from Molly Hammond, USDA Rural Development- Illinois, April 7,2008 USDA published a notice yesterday (4/6/08)in the Federal Register announcing it is accepting applications for fiscal year (FY) 2008 to purchase renewable energy systems and make energy efficiency improvements for agriculture producers and rural small businesses in eligible rural areas. Funding will be available in the form of grants, guaranteed loans, and combined guaranteed loans and grant applications. For FY 2008 there is approximately $15.9 million in funding for competitive grants and $205 million in authority for guaranteed loans. Funding for grant and loan combination packages will be funded from the same allocation as loan guarantees. I have attached the Federal Register document to this email. Please read it carefully. Pay particular attention to the mention of the Environmental Assessment. The environmental process should begin right away. Please contact me for information on environmental requirements for specific projects. This year there will be two competitive grant cycles. The first deadline is April 15, 2008. Applications that are not funded in the first competition will automatically be considered under the second competition. Grant applications in the second cycle are due no later than June 16, 2008. Loan applications and grant/loan combination applications will be evaluated on a bi-weekly basis until June 16. These will be funded on a first-come first-serve basis. I would suggest submitting a combination application as soon as possible. Please note that combination applications must score at least 84 points to remain eligible. Please see the following websites for more information on the program: http://www.rurdev.usda.gov/rbs/farmbill/index.html - Section 9006 website A copy of the regulation can be found at the above website, but a more reader-friendly version is available at this link: http://www.rurdev.usda.gov/regs/regs/pdf/4280b.pdf Application templates and other useful items can be found at the Environmental Law and Policy Center website. Please note that this is not a USDA Rural Development website. www.farmenergy.org http://www.agmrc.org/agmrc/provider_search.asp - Link to a list of grant writers. I look forward to working with you, and feel free to contact me with any questions. Molly K. Hammond USDA Rural Development - Illinois Business Cooperative Specialist Phone: 217-403-6210 Fax: 217-403-6215 New Legislation - Renewable Energy A number of wind energy related acts have been created to facilitate development. Below are summaries of significant policy. These summaries were prepared from information available at http://www.ilga.gov/legislation/publicacts/default.asp Financial Assistance for School Renewable Energy Projects Public Act 095-0046 An ACT concerning education • Subject to appropriation of funds. o Renewable energy grant program - solar, geothermal, and wind o Installation, acquisition, construction, and improvement of renewable energy resources in public schools • Grant coverage o 50% of cost o Maximum grant of $1,000,000 o School must demonstrate 50% cost share o School may fund its portion with private funds Zoning of Wind Turbines and Farms Public Act 095-0203 An ACT concerning local government County • may establish standards for wind turbines and wind farms o Including height, number o Including the siting of wind turbines in unincorporated areas • does not regulate siting in municipality jurisdiction and a 1.5 mile radius surrounding its jurisdiction • shall hold at least one public hearing not more than 30 days prior to a siting of a wind turbine decision by county board o Notice of hearing published in newspaper with general circulation in county • may allow siting of test wind towers without formal approval • Test wind towers must be dismantled within three years of installation • Provisions of county zoning ordinance pertaining to wind farms, already in effect prior to effective date of this act may continue. Municipality • may regulate wind turbines and wind farms within its jurisdiction and a 1.5 miles radius surrounding its zoning jurisdiction. • shall hold at least one public hearing not more than 30 days prior to a siting of a wind turbine decision by county board o Notice of hearing published in newspaper with general circulation in the municipality • may allow siting of test wind towers without formal approval • Test wind towers must be dismantled within three years of installation School Ownership of Wind Farm Public Act 095-0390 An Act concerning education • A school district may own/operate a wind farm o Individually or jointly o Must reduce directly or indirectly energy or other operating costs of school district • School district may ask for assistance of any State agency in obtaining financing options. • A community college district is covered by the same provisions as a school district Net Metering of Electricity Public Act 095-0420 An ACT concerning regulation • For retail customers that own or operate electric generation from renewable energy on their premises • Electricity providers must offer by April 1, 2008 • Up to rated capacity of 2000 kilowatts per customer o Customers meeting requirements must be accepted into the program until electricity provider has achieved 1% of total peak demand (based on previous year experience), however o Systems rated at 40 kilowatts or less are limited to 200 new customers for a one year period beginning 4/1/08 • Intent is to offset customer's own consumption • Generation offsets consumption monthly o If consumption exceeds generation then billed for the net deficit o If generation exceeds consumption then a credit for the net surplus is carried forward until needed for another net deficit month o Each monthly credit must be used within 12 months at which time it expires • Retail customer owns any credits that may become associated with production of renewable energy • Pro rating for multiple customers such as in a community wind project is at discretion of electricity provider Utility Electricity Public Act 095-0481 An ACT concerning Renewable Portfolio Standards • Minimum percentage of utility's total supply to serve the load of eligible retail customers. • At least 2% by June 1, 2008 • At least 4% by June 1, 2009 • Increasing by 1% per year thereafter to 10% by June 2015 • Increasing by 1.5% each year thereafter to at least 25% by June 1, 2025 • At extent that it is available, at least 75% of the renewable energy resources used shall come from wind generation. Ameren's Guide on Home Renewable Energy and Policy on Purchasing Excess Power You can review Ameren's guide on Photovoltaic and Wind Generator Systems and the policy for purchasing excess electricity at http://www.ameren.com/ENVIRONMENT/ADC_EV_WindSystemsFactors.asp (see section F). Other Wind Energy Incentives Follow the link provided here to view incentives available for Illinois wind energy projects. Click on the state of Illinois and see the latest information http://www.dsireusa.org/ Find elevation for your proposed site If you need approximate elevation information, you can view topographic maps of your area at http://www.topozone.com WIU Receives Grant for Wind Monitoring Project MACOMB, IL - Wind power production presents an opportunity to diversify the agricultural economy, the backbone of many rural communities, and it also helps protect the environment by making use of a clean and green renewable source of energy. To promote and assist with wind energy projects throughout the state, the Illinois Institute for Rural Affairs (IIRA) at Western Illinois University has been awarded a $419,000 grant from the Illinois Clean Energy Community Foundation. The foundation is the sole sponsor of the four-year project in which the IIRA, in cooperation with Western's geography department, will record wind velocity from sites throughout Illinois. Landowners interested in knowing if their location has adequate wind to power a turbine can apply for the instruments used for measuring wind; a limited number of sites will be selected. According to Roger Brown, IIRA research associate and wind program coordinator, the data will be used to create a more detailed wind resource map for the state. "We anticipate that locally-owned wind power projects could be developed as a result of the data," Brown explained. "This project will also contribute to a better understanding of wind quality throughout the state which could lead to more interest in community-based and individual projects." According to the American Wind Energy Association, a wind energy system transforms the kinetic energy of the wind into mechanical or electrical energy that can be "harvested" for practical use. Mechanical energy is most commonly used for pumping water in rural or remote locations, while wind electric turbines generate electricity for homes and businesses and for sale to utilities. A 10-kilowatt wind turbine can generate about 16,000 kilowatt-hours annually, more than enough to power a typical household. "This grant allows the Institute for Rural Affairs at Western to provide essential wind information to communities and landowners interested in installing wind turbines," said James Mann, executive director of the Clean Energy Foundation. The foundation also recently awarded $175,000 to the Illinois Rural Electric Cooperative in Pike County for a local wind power project. The cooperative is installing a 1.65 megawatt turbine to generate pollution-free power for its members. Mann noted thqat in the last two years, the foundation has awarded a dozen grants totaling more than $1.5 million to advance community-based wind projects throughout Illinois. For more information on the wind energy project, contact Brown at 309/298-1453. A website (www.illinoiswind.org) to promote the project and house wind data is currently under construction. |
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