Tom Vilsack, secretary of the U.S. Department of Agriculture, came to Vermont to announce a $46 million program funded by his agency to support energy efficiency investments in the state.

Vilsack was flanked on Friday by Sen. Patrick Leahy, D-Vt., Gov. Peter Shumlin and Scott Johnstone, executive director of the Vermont Energy Investment Corp., to make the announcement at VEIC. The corporation will administer the loans given to individual homeowners, small businesses and town governments for a broad range of projects.

"This USDA assistance will reduce barriers to energy investments by lowering the upfront costs, spreading these costs over 20 years, and by making financing more available," Vilsack said in a statement. "It also will help residential, commercial, agricultural and industrial consumers in rural Vermont reduce energy use and meet state and national energy goals."

The Vermont program is the largest in the country so far under the Energy Efficiency and Conservation Loan Program, launched in December 2013. VEIC will work with utility companies, financial institutions, contractors, public organizations and government agencies to offer long-term, low-interest loans for efficiency upgrades. These can include weatherization, high efficiency lighting, conversion to renewable energy sources such as solar power, and improvements to heating and air conditioning systems.

Leahy said Vermont's comprehensive, statewide program will serve as a test case for the federal program under which the $46 million is being made available.

"If we can demonstrate we can do it in our little state of Vermont, then the rest of the country can do it," Leahy said.

Shumlin said the program will "put money in Vermonters' pockets and create jobs."

VEIC will operate and administer the program through Efficiency Vermont, an energy efficiency utility with a predominantly rural service territory, statewide. Efficiency Vermont has a 15-year history of providing efficient lighting, appliances, equipment and HVAC systems to residential and business customers. The USDA said in a news release that VEIC's partnership with Efficiency Vermont "serves as a model" of how utilities can enable large-scale energy efficiency and renewable investments.

"One of the reasons I love coming here is you all work well together," Vilsack said Friday.

The USDA loan is expected to provide major benefits to rural Vermont residents, businesses and communities beyond reducing the burden of energy costs. Reducing those costs for farmers and food manufacturers, including family-run dairies and maple syrup producers, can help them remain competitive.

To date the program has provided $56.6 million for energy efficiency and renewable energy projects in rural areas. It is also another step by which USDA is supporting President Obama's Climate Action Plan.

Burlington Free Press