In a significant step towards a cleaner, more resilient energy future, the Biden-Harris Administration announced a groundbreaking $7.3 billion investment aimed at transforming rural America's energy infrastructure. This monumental initiative, the largest investment in rural electrification since Franklin D. Roosevelt's New Deal, marks a new chapter in sustainable energy through the Empowering Rural America (New ERA) program. The announcement was made during a visit to Westby, Wisconsin, by President Joe Biden and U.S. Department of Agriculture (USDA) Secretary Tom Vilsack on September 5, 2024.

This historic funding, part of President Biden’s Investing in America agenda and bolstered by the Inflation Reduction Act, will support 16 selected rural electric cooperatives in their efforts to build clean energy infrastructure. These projects are set to generate more than 10 gigawatts of clean energy, creating jobs, lowering energy costs, and significantly reducing greenhouse gas emissions across rural America.

 Transforming Rural Energy: Benefits and Impact

The New ERA program's 16 selected projects will collectively reduce over 43.7 million tons of greenhouse gases annually—equivalent to removing over 10 million gasoline-powered cars from the road. Through partnerships with rural electric cooperatives, these projects will deliver clean, affordable, and resilient electricity to nearly 5 million households across 23 states, including Texas, Wisconsin, Florida, and California.

“The Inflation Reduction Act makes the largest investment in rural electrification since the 1930s,” said John Podesta, Senior Advisor to the President for International Climate Policy. “Today’s awards bring clean, affordable, and reliable power to rural Americans nationwide, supporting a prosperous future and driving our transition to a clean energy economy.”

Key highlights from this investment include:

- Support for more than 4,500 permanent job and 16,000 construction jobs, enhancing the American workforce with well-paying, sustainable employment opportunities.

- Construction of over 10 gigawatts of clean energy infrastructure, including wind, solar, nuclear, and hydropower projects, making rural communities more resilient and reducing pollution by 2.9 billion tons over the lifetime of the projects.

- Advanced battery storage systems, totaling 1,892 megawatt hours, that will increase grid reliability and minimize outage times for local customers.

First New ERA Award: Dairyland Power Cooperative Leads the Way

Among the 16 rural cooperatives receiving funding, Dairyland Power Cooperative in Wisconsin stands out as the first to finalize its award under the New ERA program. Dairyland will receive nearly $573 million in grant and loan funding to support the development of 1,080 megawatts of clean energy through a combination of solar and wind projects. Dairyland’s electric rates are projected to be 42% lower over the next decade, thanks to this investment.

The cooperative's projects, set to leverage a total investment of $2.1 billion, will not only provide clean energy but also foster partnerships with labor unions and local communities. Dairyland's Community Benefit Plan, designed with support from the University of Wisconsin-Mdison Clean Energy Community Initiative, will include a Farmer Benefit Plan and a Union Engagement Plan, ensuring that the economic and social benefits of these projects are felt locally.

A Path to Justice and Inclusivity

The Biden-Harris Administration's focus on environmental justice is at the core of these investments. Through the Justice40 Initiative, 40% of the overall benefits from federal climate and clean energy programs will reach marginalized and overburdened communities, ensuring that rural Americans—particularly those from disadvantaged backgrounds—reap the rewards of the clean energy transition.

“Under the Biden-Harris Administration, we are committed to building a cleaner and more equitable future,” remarked Secretary Vilsack. “These investments will help create a more sustainable and prosperous rural America while keeping energy costs low and creating jobs that uplift communities.”

Powering the Future of Rural America

The USDA's New ERA program is just one of many initiatives under the Inflation Reduction Act aimed at revitalizing rural America. From infrastructure improvements to housing, business development, and healthcare, USDA Rural Development programs are making a lasting impact on millions of Americans. These investments are empowering communities, driving economic growth, and advancing a cleaner, greener future for generations to come.

For more information on the USDA’s efforts in rural clean energy and the full list of New ERA recipients, visit https://www.usda.gov.