On Farm Energy Efficiency & Production Grants (Kentucky)

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Last modified on December 17, 2014.

Financial Incentive Program

Place Kentucky

Name On Farm Energy Efficiency & Production Grants
Incentive Type State Grant Program
Applicable Sector Commercial, Agricultural
Eligible Technologies Water Heaters, Lighting, Lighting Controls/Sensors, Furnaces, Boilers, Heat recovery, Programmable Thermostats, Building Insulation, Windows, Siding, Roofs, Motors, Motor-ASDs/VSDs, Processing and Manufacturing Equipment, Agricultural Equipment, Custom/Others pending approval, Solar Water Heat, Solar Thermal Electric, Photovoltaics, Wind, Biomass, Hydroelectric, Geothermal Electric, Geothermal Heat Pumps, Anaerobic Digestion, Renewable Fuels, Ethanol, Biodiesel, Fuel Cells using Renewable Fuels, Tankless Water Heaters, LED Lighting
Active Incentive Yes

Implementing Sector State/Territory
Energy Category Renewable Energy Incentive Programs, Energy Efficiency Incentive Programs

Equipment Requirements Improvements to personal residences, non-farm commercial property, and any other non-farm structures are not eligible.

Windows, doors, skylights, roofing, and lighting must be Energy Star rated
Tankless, solar, or water heaters must have thermal efficiency of at least 90%
Tractors or other vehicles/equipment with internal combustion motors are not eligible for funding.
Waste oil or biomass fired boilers, hydronic furnaces, heaters and stoves must be EPA-approved.

Program Administrator County Agricultural Development Councils, Governor's Office of Agricultural Policy
Website http://agpolicy.ky.gov/funds/energy.shtml
Date added to DSIRE 2010-01-15
Last DSIRE Review 2014-08-04

References DSIREDatabase of State Incentives for Renewables and Efficiency[1]


Under the County Agricultural Investment Program (CAIP), the Office of Agricultural Policy (OAP) offers grants for farms that incorporate energy efficiency into their operations, produce alternative energy for on-farm use, or grow biomass crops. A wide range of energy efficiency and renewable energy technologies are eligible for grants, given they meet the energy savings criteria.* Applicants with projects requiring over $50,000 in expenditures, or that have projects likely to be submitted for federal funding, should consider requesting funds for a professional energy audit. Applications are accepted on a rolling basis. See the OAP homepage for application materials, reporting forms, and program guidelines. New applications and guidelines are available for each calendar year. Customers may also contact the Office of Agricultural Policy about loans in addition to the grant.

Eligible projects include:

  • Upgrades to farm equipment
  • Energy efficient lighting
  • Building Insulation
  • Programmable thermostats and controllers
  • Fans
  • Windows, doors, skylights, roofing
  • Cool Roof systems
  • Tankless, solar, or other efficient water heaters
  • EPA approved waste oil or biomass fired boilers, hydronic furnaces, heaters, and stoves
  • Biomass energy crop production costs, including seed, rootstock, limestone, and equipment and structure for producing, harvesting,and transporting energy crops
  • Equipment, structures, and supplies for converting animal waste, biomass, grains, or oilseeds into usable energy including ethanol or biodiesel
  • Equipment, structures, and supplies used to interconnect a farm's renewable energy-powered generator to the grid
  • Equipment, structures, and supplies used to retrofit oil and gas wells to use the energy on-site
  • Fuel testing services and kits for monitoring fuel quality
  • Equipment, structures, and other supplies used to harness solar, wind, geothermal, and other renewable resources

*Projects are judged by these criteria: farm energy use, farmer's method for evaluating the need for the energy efficiency project, payback period (justification), ability to harness energy, use of professional services for the project, and the farmer's overall reliance on farming for his/her livelihood (based on time, assets invested, and percent of income from farming).

Incentive Contact

Contact Name Bill McCloskey
Department Governor's Office of Agricultural Policy

Address 404 Ann Street

Place Frankfort, Kentucky
Zip/Postal Code 40601
Phone (502) 782-1766

Email govkyagpolicy@ky.gov
Website http://agpolicy.ky.gov

  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency"