DOE Announces $254M to Decarbonize Industrial Sector and Revitalize Domestic Manufacturing

Jan. 30, 2024
The funding will support 49 projects across 21 states to reduce industrial greenhouse gas emissions and advance decarbonization technology development

The US Department of Energy (DOE) has announced $171 million for 49 projects across 21 states to reduce industrial greenhouse gas (GHG) emissions and advance decarbonization technology development.

The DOE also announced applications are now open for an additional $83 million in funding to decrease emissions from hard-to-decarbonize industrial sectors, which represents nearly 30% of total US carbon emissions.

The $254 million in total funding helps support the DOE’s Industrial Heat Shot and Clean Fuels & Products Shot, which places emphasis on advancing next-generation technologies that reduce harmful emissions to tackle the climate crisis, create new, good-paying jobs, and strengthen America’s manufacturing and industrial competitiveness.

“Today’s announcement will help advance the innovative technologies we need to lower costs and improve energy efficiency in America’s factories and industrial centers,” said US Secretary of Energy Jennifer Granholm. “Ensuring America’s industrial sector and its robust workforce remain strong and competitive is key to maintaining our nation’s edge as a global economic powerhouse.”

Managed by the DOE’s Industrial Efficiency and Decarbonization Office, the 49 selectees will support applied research, development, validation, and demonstration (RD&D) projects to reduce energy usage and GHG emissions from industrial subsectors.

The projects will advance decarbonization technologies in areas such as:

  • Decarbonizing Industrial Heat – 10 projects totaling $25.3 million
  • Low-Carbon Fuels Utilization R&D – Six projects totaling $20.7 million
  • Exploratory Cross-Sector R&D – Five projects totaling $14 million
  • Decarbonizing Chemicals – Six projects totaling $30.5 million
  • Decarbonizing Iron and Steel – Seven projects totaling $37 million
  • Decarbonizing Food and Beverage Manufacturing – Five projects totaling $11.1 million
  • Decarbonizing Cement and Concrete – Five projects totaling $20 million
  • Decarbonizing Forest Products – Five projects totaling $12 million

In total, these awards will focus on the highest GHG-emitting subsectors, specifically chemicals and fuels, iron and steel, food and beverage, building and infrastructure materials, and forest products.

Together, these industries account for more than 65% of US industrial manufacturing emissions, which jeopardize public health and pollute global ecosystems.