Trump admin signals lift on rural energy grants pause

By Marc Heller | 12/22/2025 01:43 PM EST

Some USDA offices have resumed taking applications for grants, but the Rural Energy for America Program’s future still looks cloudy.

Sheep grazing next to solar panels

Sheep grazing near solar panels at Cornell University in Ithaca, New York. Heather Ainsworth/AP

The Trump administration’s freeze on energy grants to farmers and rural small businesses might be starting to thaw.

Some Agriculture Department offices have started accepting applications for the grants again, after months of turning people away, according to organizations that work with the program.

In Iowa, USDA’s rural development offices started accepting grant applications after the federal government shutdown ended Nov. 12, said Steve Hopkins, Rural Energy for America Program manager and energy coach with Clean Energy Districts of Iowa, which helps applicants prepare and submit the paperwork.

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Hopkins said the change was good news for farmers and businesses that want to take advantage of the program, which helps pay for mostly small-scale energy efficiency improvements and renewable energy projects. But there’s still a backlog of old applications, and REAP’s future remains unclear while the administration prepares to change the rules in the new year, he said.

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