USDA Powering Affordable Clean Energy (PACE) Program
USDA program providing partial loan forgiveness for rural renewable energy and storage projects.
About this program
The Powering Affordable Clean Energy (PACE) Program provides loans with up to 60% loan forgiveness (effectively a forgivable portion) for renewable energy generation, energy storage, and related projects developed by eligible rural utility and community organizations. Created by the IRA, PACE supports solar, wind, hydropower, geothermal, and battery storage projects connected to the grid. Loan forgiveness is higher for projects in distressed and energy communities.
Eligibility
Rural electric cooperatives, eligible nonprofits, public power providers, tribal utilities, and certain investor-owned utilities serving rural areas. Projects must be in eligible rural areas.
Requirements
- Confirm project is located in USDA-eligible rural area
- Submit Letter of Interest to USDA Rural Utilities Service
- Pass screening and submit full Part I and Part II applications