Minnesota

Rural Minnesota Energy Board PACE Program

For commercial and industrial property owners in rural Minnesota counties, the Rural Minnesota Energy Board offers PACE funding for retrofits that install solar thermal, geothermal heat pumps, or any technology which increases energy efficiency. Participating counties include Blue Earth, Brown, Cottonwood, Faribault, Freeborn, Jackson, Lincoln,

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AGRI Bioincentive Program: Advanced Biofuel

This incentive program reimburses facilities in Minnesota producing advanced biofuels, defined as fuels produced from non-food, non-feed, sustainably-grown feedstocks and agricultural wastes and reducing greenhouse gas emissions at least 50% compared to fossil-based alternatives, among other requirements. Facilities must have expanded or begun production after

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AGRI Bioincentive Program: Biomass Thermal Energy

This incentive program reimburses facilities in Minnesota producing heat or electricity from combustion, gasification, or anaerobic digestion using cellulosic biomass feedstocks. To qualify, facilities must have begun energy production before June 30, 2025, produce 250 million MMBtu every quarter, and source biomass from sustainable agriculture,

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Environmental Assistance Loans

MCPA partners with private financial institutions to provide low-interest financing to businesses and political subdivisions of the state to fund the capital costs of environmental projects, including those reducing pollution. While many businesses and projects are eligible for loans, the MPCA prioritizes small- and medium-sized

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Guaranteed Energy Savings Program

Aimed at assisting Minnesota public entities in boosting energy efficiency and renewable energy deployment, this program provides a wide array of technical, contractual, and financial assistance in pursuing Energy Savings Performance Contracting. ESPCs work with approved Energy Service Companies to use the money saved by

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Small Business Environmental Improvement Loans

The Minnesota Pollution Control Agency offers zero-interest loans to Minnesota small businesses for capital expenditures helping the company comply with or exceed environmental regulations, including those regulating emissions of greenhouse gasses and other pollutants. Recipients must employ less than 100 employees and report less than

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Renewable Energy Standard

Minnesota requires investor-owned utilities, electric cooperatives, municipal power agencies, and power districts to have at least 20% of retail electricity sales generated or procured from eligible renewable sources (including solar PV, wind, hydroelectric, green hydrogen, landfill gas, RNG, landfill gas, and wastewater) by 2020 and 25%

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Solar Energy Sales Tax Exemption

Minnesota law entirely exempts any system utilizing solar energy, including to heat water, buildings, or drive industrial processes, from sales tax. Minnesota Department of Revenue Form ST3 “Certificate of Exemption” can be used to claim the exemption.

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