Eligible REAP—Renewable Energy System (RES) projects and requirements.

CFR · 2024-01-01 · US · Title 7

For a REAP RES Project to be eligible for a loan guarantee under this part, it must meet the criteria specified in § 5001.102(a) through (c) and in paragraphs (a) through (e) of this section and be for a borrower eligible to submit an application for the project in accordance with § 5001.126. If taxable bonds are utilized as debt instruments the provisions of § 5001.105(b)(19) must be met. (a) The project must be for— (1) The purchase of a new or existing RES; (2) The purchase of a refurbished RES; or (3) The retrofitting of an existing RES. (4) For the purposes of this section, only those hydroelectric sources with a rated power of 30 megawatts or less are an eligible RES. (b) The RES project must use commercially available technology. (c) The RES project must be located in a rural area unless the borrower is an agricultural producer and the application supports the production, processing, vertical integration, or marketing of agricultural products. If the agricultural producer's operation is in a non-rural area, then the application can only be for RES components that are: (1) Directly related to, and their use and purpose is limited to the agricultural production operation, such as vertically integrated operations; and (2) Part of and co-located with the agricultural production operation. (d) Where a residence is closely associated with an agricultural operation or rural small business to be served by the RES project, 50 percent or more of the energy to be generated by the

official document · source cfr-2024 · id 7:§ 5001.106