Ascent Solar Technologies, Inc (NASDAQ:ASTI) shares are trading higher after the company received encouragement from the U.S. Department of Energy to submit a full application for federal funding of the Agrivoltaic Product Development Project.

The company said it is working to innovate agrivoltaic technologies that will directly benefit the farmers of America by enabling reliable and durable on-site solar power generation for behind-the-meter use.

Ascent got the decision after its initial concept paper submitted for "DE-FOA-0003057: Bipartisan Infrastructure Law: Silicon Solar Manufacturing, and Dual-use Photovoltaics Incubator" has been reviewed.

The Biden-Harris Administration has demonstrated a commitment to spurring agrivoltaic adoption with a funding opportunity, which will award $45 million for projects to enable continued solar cost reductions while developing next-generation solar technologies and boosting American solar manufacturing. 

The company's thin-film solar technology is a natural fit for application, especially as the DOE has noted the importance of developing new technologies that can facilitate agrivoltaic adoption and lower the cost of manufacturing and installation.

Ascent Solar said it will now move forward with the application process in hopes of securing funding to advance the development of the proposed agrivoltaic system. 

"This is an opportunity for Ascent to submit a full application for a DOE funded project, demonstrating our technology's potential following years of research for application to produce solar energy on farms, and provide water conservation," said Paul Warley, CEO of Ascent Solar Technologies. 

Price Action: ASTI shares are trading higher by 95.4% to $1.92 premarket on the last check Tuesday.