---
kind: "section"
citation: "7 U.S.C. § 918c"
title: "7"
title_heading: "Agriculture"
number: "918c"
heading: "Rural and remote communities electrification grants"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/7/918c"
units:
  - "Chapter 31 — Rural Electrification and Telephone Service"
  - "Subchapter I — Rural Electrification"
---

# §918c. Rural and remote communities electrification grants

- (a) **Definitions—** In this section:
  - (1) The term “eligible grantee” means a local government or municipality, peoples’ utility district, irrigation district, and cooperative, nonprofit, or limited-dividend association in a [rural area](/usc/7/913.md?p=3).
  - (2) The term “incremental hydropower” means additional generation achieved from increased efficiency after January 1, 2005, at a hydroelectric dam that was placed in service before January 1, 2005.
  - (3) The term “renewable energy” means electricity generated from—
    - (A) a renewable energy source; or
    - (B) hydrogen, other than hydrogen produced from a fossil fuel, that is produced from a renewable energy source.
  - (4) The term “renewable energy source” means—
    - (A) wind;
    - (B) ocean waves;
    - (C) biomass;
    - (D) solar;
    - (E) landfill gas;
    - (F) incremental hydropower;
    - (G) livestock methane; or
    - (H) geothermal energy.
  - (5) The term “[rural area](/usc/7/913.md?p=3)” means a city, town, or unincorporated area that has a population of not more than 10,000 inhabitants.
- (b) **Grants—** The [Secretary](/usc/7/913.md?p=5), in consultation with the [Secretary](/usc/7/913.md?p=5) of Agriculture and the [Secretary](/usc/7/913.md?p=5) of the Interior, may provide grants under this section to eligible grantees for the purpose of—
  - (1) increasing energy efficiency, siting or upgrading transmission and distribution lines serving [rural areas](/usc/7/913.md?p=3); or
  - (2) providing or modernizing electric generation facilities that serve [rural areas](/usc/7/913.md?p=3).
- (c) **Grant administration—**
  - (1) The [Secretary](/usc/7/913.md?p=5) shall make grants under this section based on a determination of cost-effectiveness and the most effective use of the funds to achieve the purposes described in [subsection (b)](#b).
  - (2) For each fiscal year, the [Secretary](/usc/7/913.md?p=5) shall allocate grant funds under this section equally between the purposes described in paragraphs [(1)](#b-1) and [(2)](#b-2) of subsection (b).
  - (3) In making grants for the purposes described in [subsection (b)(2)](#b-2), the [Secretary](/usc/7/913.md?p=5) shall give preference to renewable energy facilities.
- (d) **Authorization of appropriations—** There is authorized to be appropriated to the [Secretary](/usc/7/913.md?p=5) to carry out this section $20,000,000 for each of fiscal years 2006 through 2012.

## Source credit

(Pub. L. 95–617, title VI, § 609, as added Pub. L. 109–58, title II, § 209, Aug. 8, 2005, 119 Stat. 657.)

## Notes

### Editorial Notes

### Codification

Section was enacted as part of the Public Utility Regulatory Policies Act of 1978, and not as part of the Rural Electrification Act of 1936 which comprises this chapter.

### Statutory Notes and Related Subsidiaries

### Definitions

Secretary means the Secretary of Energy, see section 2602(14) of Title 16, Conservation.