Federal funding is available to help businesses in rural Alaska improve their energy efficiency.
The Rural Energy for America Program (REAP) is a program of the U.S. Department of Agriculture. A nationwide nonprofit organization called RurAL CAP provides technical assistance to anyone interested in the application process.
Shae Bowman is an energy development specialist at RurAL CAP and discussed the program with the Sitka Chamber of Commerce earlier this month.
She said the Rural Energy for America Program is often associated with renewable energy development — typically solar panels. And while solar is no longer out of the question for rainy Southeast Alaska, there are other options for energy improvements that may be more practical.
“That could be upgrading equipment, installing heat pumps or upgrading your lighting to LED lighting,” Bowman said. “It could be better insulating your business, or if your business is heated with diesel fuel, for example, it could be switching to heat pumps if your community has a hydroelectric plant.”
Bowman said some of the most attractive companies for energy financing are actually commercial fishing boats. There are significant opportunities for energy improvements that are not necessarily obvious.
“Some of these projects have been putting solar panels on the boat, increasing the capacity of the fish hold, or insulating the fish hold,” she said. “It may be hard to see how this relates to energy efficiency, but as a commercial fisherman, if you increase the capacity of your fish hold, it means you may make fewer trips to the dinghy and therefore use less diesel. If you have a better insulated hold, you don’t have to use as much energy to keep your fish cool.”
Bowman says REAP covers 50% of the cost of these projects, which can be a big help, but the application process can be daunting. Depending on the size of the project, an energy assessment or audit is required, plus there are other logistical challenges. But that’s exactly what it’s there for: helping guide applicants through the process and connecting them with funding.
And sometimes it is about not encourage people to submit a long application.
“And often people sign up for technical assistance, and we talk about a project. Then they say, ‘Okay, I don’t know if this is a good fit, or it’s a lot more work than I originally expected,’ and then they may decide to fund the project out of their own pocket,” Bowman said. “Sometimes, on the other hand, we meet and talk about a project, and they say, ‘Okay, I think this is really worth my time,’ and then we know how to move forward.”
Bowman’s program was part of the Sitka Chamber of Commerce’s Summer Speaker Series.
The next speaker in the Chamber’s line-up is MP Rebecca Himschoot, who will give an update on the legislation on Wednesday afternoon.
Robert Woolsey is news director at KCAW in Sitka.
