2025 Community Wood Energy and Wood Innovation Program

The USDA Forest Service is delivering the Community Wood Energy and Wood Innovation Program to support the installation of thermally led community wood energy systems or development and expansion of innovative wood product facilities. The program aims to improve forest health, stimulate local economies, and expand renewable wood energy use and innovative wood products manufacturing capacity. Eligible applicants include non-profits, local, state, and tribal governments, businesses, companies, corporations, institutions of higher education, and special purpose districts. The program will award up to $6 million in total awards, with a maximum of $1 million per award. Examples of eligible projects include: • Installing a thermally led community wood energy system for heating, cooling, and/or electricity that replaces fossil fuels. • Purchasing and installing manufacturing equipment at a mass timber production facility. • Expanding a sawmill to add higher value production lines that incorporate innovative technologies and cost-cutting measures. • Purchasing and installing equipment at a new facility to produce biofuels from forest residues.