USDA Rural Development recognizes the great economical benefits the livestock industry brings to the state of Nebraska. It also is aware of the challenges this industry faces with waste stream management – the costs, environmental impact and the associated societal stigma.

Anaerobic digesters, however, can offer the livestock industry an avenue in addressing their challenges. From the economical standpoint, anaerobic digesters recover methane, a valuable source of renewable energy. This recovery process also opens the door to carbon credit trading. By-products resulting from the digester process are crop fertilizers that are nutrient measurable and environmentally friendly, along with soil amendments and compost from which additional income may be secured.

Environmentally, anaerobic digesters improve air quality since the recovery of methane reduces the emission of greenhouse gases. Drawing on this recovered methane also reduces the use of fossil fuels, helping decrease associated emissions. Meanwhile, water quality improves as plants can more quickly absorb the digester’s organic fertilizer, reducing the risk of stream and groundwater contamination.

Societal benefits of digesters include a significant reduction in livestock odors. Utilizing the recovered methane helps reduce our dependency on foreign oil and the associated security risks from that dependency. Anaerobic digesters uphold environmental stewardship and demonstrate corporate responsibility. In fact, the positive outcomes from the digester process can help to change a community’s attitude about livestock production.

In 2003, USDA Rural Development assisted with Nebraska’s first methane digester through a renewable energy systems grant of $80,000 to Dan Kluthe of Dodge, Neb. Kluthe utilized the monies to construct a methane digester for his 8,000 head hog farm, helping to control odor from the facility and to produce electricity.

The digester heats and stirs the manure to generate methane gas, which is captured by the digester cover. The gas is then piped to an engine that powers a generator, creating electricity that is fed into the power lines and sold to the Nebraska Public Power District. Kluthe named his renewable energy project Olean Energy. To read more, visit http://www.oleanenergy.com.

USDA Rural Development offers a couple of funding programs that can assist those looking towards anaerobic digesters. The Value Added Producer Grant program assists farmers and ranchers in adding value via on-farm conversion of their livestock waste into renewable energy. The funds allow producers to explore various aspects of renewable energy system feasibility and to develop detailed business and marketing plans for the value added renewable energy product.

If determined feasible, the Renewable Energy Systems and Energy Efficiency Improvements program provides guaranteed loans, grant/guaranteed loan combinations and grants to purchase and install the renewable energy system and its integral components.

Like the Alliance for the Future of Agriculture in Nebraska (A-FAN), USDA Rural Development understands the importance of the livestock industry to the state. The livestock and poultry industry provides jobs and economic activity across Nebraska, making it critical to not only rural communities but also the state as a whole.

Scot Blehm is the Nebraska State Director for USDA Rural Development. He is based in Lincoln.