Biden- Harris Administration Announces Nearly $85 Million to Accelerate Domestic Heat Pump Manufacturing

Biden- Harris Administration Announces Nearly $85 Million to Accelerate Domestic Heat Pump Manufacturing

Funding from the Investing in America Agenda —Invoked by The President’s Use of the Defense Production Act—Would Boost U.S. Manufacturing, Create Clean Energy Jobs, and Lower Energy Bills for Households Across the Nation, While Protecting National Security

https://www.energy.gov/articles/biden-harris-administration-announces-nearly-85-million-accelerate-domestic-heat-pump

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WASHINGTON, D.C. — As part of the Biden-Harris Administration’s Investing in America agenda, the U.S. Department of Energy (DOE) today announced nearly $85 million across four heat pump manufacturers to accelerate the manufacturing of electric heat pumps, heat pump hot water heaters, and heat pump components at five factories in New York, Tennessee, Texas, and Rhode Island. The selected projects are the second round of awards from DOE’s authorization, invoked by President Biden using emergency authority on the basis of climate change, to utilize the Defense Production Act (DPA) to increase domestic production of five key clean energy technologies, including electric heat pumps. The projects, administered by DOE’s Office of Manufacturing and Energy Supply Chains (MESC), would collectively create over 500 high-quality, good-paying jobs, including 220 jobs in disadvantaged communities, supporting President Biden’s goals of spurring economic growth and maximizing the benefits of clean energy to all communities. In alignment with President Biden’s Justice40 Initiative and funded by the Inflation Reduction Act—the largest climate investment in U.S. history—selected projects will further the Administration's buildup of a clean energy economy, create high quality manufacturing jobs, help families and businesses save money on their energy bills, and bolster national security by reducing energy reliance on fossil fuels and foreign adversaries.

“Extreme weather events are harming our grid and serving as a primary driver of higher electricity bills, underscoring the need to increase access to energy efficient technologies,” said U.S. Secretary of Energy Jennifer M. Granholm. “The Biden-Harris Administration’s Investing in America agenda is manufacturing hundreds of thousands of energy-saving heat pumps here in the USA, helping American households and businesses keep money in their pockets all while strengthening our national security and creating good-paying jobs.”

"Under President Biden and Vice President Harris’s leadership, the United States is supercharging U.S. clean energy manufacturing, which is creating good-paying jobs, lowering families’ energy costs, and helping tackle the climate crisis, all while boosting our nation’s energy security,” said White House National Climate Advisor Ali Zaidi. “As communities across the country continue to face down the impacts of climate-fueled extreme weather events, investing in American-made heat pump manufacturing will help keep families safe and comfortable in their homes, schools, and businesses and cut their energy costs. Today's investments, levering the authorities in the Defense Production Act, harness the power of American innovation to jumpstart critical clean energy manufacturing capacity and to protect our families, our economy, and our planet.”

The DPA investments being announced today would increase American manufacturing of heat pump technologies, which provide efficient space heating and cooling and water heating for homes, schools, and commercial and industrial uses. The awards will also increase the number of compressors produced on U.S. soil, which are typically manufactured overseas in Europe and Asia, making it easier for domestic manufacturers to use these key components in American-made heat pumps. Together these investments will allow for U.S. manufacturing of an additional 155,000 residential heat pumps, 440,000 residential heat pump water heaters, 2,000 school heat pumps, and 20,000 large heat pump compressors each year.

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