RURAL ENERGY SAVINGS PROGRAM (RESP) Program Description

The Rural Energy Savings Program (RESP), authorized by the 2014 Farm Bill, provides zero-interest loans to eligible entities—such as electric cooperatives and green banks—to establish energy efficiency programs for rural households and small businesses. These programs offer low-cost financing for energy efficiency, renewable energy, and electrification improvements, which are repaid via utility bills with no upfront cost to the consumer.

• The Rural Energy Savings Program (RESP) provides zero-interest loans to eligible entities, including electric cooperatives, state financing entities, and green banks, to create or expand energy efficiency programs for rural small businesses and households. These programs finance cost-effective improvements in energy efficiency, electrification, and renewable energy, which consumers repay over time through a line-item on their utility bills without needing upfront capital.
• RESP-funded improvements include insulation, air sealing, and new heating and cooling equipment to lower energy bills. Additionally, the program may finance energy storage, electric vehicle supply equipment, distributed renewable energy generation, and irrigation improvements, provided they are cost-effective for the user. The program also supports the expansion of broadband infrastructure to enable the use of networked appliances and smart thermostats.
• Between fiscal years 2019 and 2022, Congress appropriated between $10 million and $12 million annually for RESP. During this same period, the program awarded zero-interest loans totaling $71.3 million (FY 2019), $69.6 million (FY 2020), $107.3 million (FY 2021), and $80 million (FY 2022).
• Under current law (7 USC §8107a), loans from eligible entities to qualified consumers may carry an interest rate of up to 5%, which is used to offset program costs and establish a loan loss reserve. These loans must be based on an energy audit and are generally restricted to improvements attached to real property, such as manufactured homes, rather than personal property.

APA

Environmental and Energy Study Institute (2023). RURAL ENERGY SAVINGS PROGRAM (RESP) Program Description. https://www.eesi.org/files/Farm-Bill-2023-Side-by-Side-Rural-Energy-Savings-Program-RESP.pdf

Chicago

Environmental and Energy Study Institute. RURAL ENERGY SAVINGS PROGRAM (RESP) Program Description. 2023. https://www.eesi.org/files/Farm-Bill-2023-Side-by-Side-Rural-Energy-Savings-Program-RESP.pdf.

Wikipedia

{{cite report |author=Environmental and Energy Study Institute |title=RURAL ENERGY SAVINGS PROGRAM (RESP) Program Description |date=24 February 2023 |url=https://www.eesi.org/files/Farm-Bill-2023-Side-by-Side-Rural-Energy-Savings-Program-RESP.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{environmentalandenergystudyinstitute2023rural, author = {{Environmental and Energy Study Institute}}, title = {{RURAL ENERGY SAVINGS PROGRAM (RESP) Program Description}}, institution = {Environmental and Energy Study Institute}, year = {2023}, month = feb, url = {https://www.eesi.org/files/Farm-Bill-2023-Side-by-Side-Rural-Energy-Savings-Program-RESP.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }