U.S. EPA Launches $7 Billion Grant Program to Extend Solar Investment Opportunities in Underserved Communities

The U.S. Environmental Protection Agency on June 29 announced the launch of the $7 billion Solar for All program, a grant competition for states, tribal governments, municipalities, and nonprofits to expand the number of low-income and disadvantaged communities that are primed for residential and community solar investment. The program, a part of the Greenhouse Gas Reduction Fund created by the 2022 Inflation Reduction Act, is facilitated by President Biden’s Investing in America Agenda to grow the U.S. economy through varied initiatives including rebuilding the nation’s infrastructure, and mobilizing private sector investments of over $470 million to support domestic manufacturing and clean energy investments.

The Greenhouse Gas Reduction Fund is a $27 billion fund for clean energy projects in low-income and disadvantaged communities. In addition to the solar grant competition, the national-scale program includes the $14 billion National Clean Investment Fund and the $6 billion Clean Communities Investment Accelerator. The EPA will award up to 60 grants in this competition, offering three options: State and Territory Programs, American Indian and Alaska Native Programs, and Multi-state Programs.

The new program funds expansion of low-income solar initiatives nationwide, ensuring equitable access to residential solar for low-income households. It reduces energy costs, promotes resilience, improves air quality, and creates clean energy jobs. The initiative supports Biden’s Justice40 Initiative to ensure that 40 percent of federal investment benefits go to marginalized communities, and also aligns with the goal of attaining a carbon-free power sector by 2035 and a net-zero emissions economy by 2050.

Applicants are required to file a notice of intent to apply for the solar grant competition with deadlines differing by applicant type: July 31 for states and Puerto Rico, Aug. 14 for territories, municipalities, and non-profits, and Aug. 28 for tribal governments and Intertribal Consortia. Applications are due by Sept. 26, 2023.