EPA’s Climate Pollution Reduction Grant Award Announcement Summary

The Biden administration announced more than $4 billion in Environmental Protection Act (EPA) grants to cut climate pollution across 30 states. The grants will be disbursed through the Inflation Reduction Act (IRA) for a total of 25 projects. The funds will be aimed at reducing greenhouse gas pollution from the transportation, commercial/residential building, electric power, industrial, agricultural and waste management sectors. PA will receive $396 million under the grant.

Press Advisory – EPA Administrator Regan to Join Governor Josh Shapiro in Pittsburgh

Pennsylvania to Announce Historic Funding to Combat Climate Pollution

EPA Press Release – Biden-Harris Administration Announces $4.3 Billion in Grants for Community-Driven Solutions to Cut Climate Pollution Across America

Press Conference Speakers Included:

Governor Josh Shapiro
PA DEP Acting Secretary Jessica Shirley
Sara Innamorato, Allegheny County Executive
Darrin Kelly, President, PA AFL-CIO
Michael Regan, EPA Administrator

Video Recording of Press Event Here

News Clips on the CPRG Announcement (Courtesy of Clearpoint)

Rise PA Application Summary is Here – March 1, 2024 Priority Climate Action Plan submitted to EPA for the $396 million Climate Pollution Reduction Grant.

EPA’s PA Project Web Page – Commonwealth of Pennsylvania

Selected Application Summary: The selected application will create a statewide industrial decarbonization incentive program and reduce greenhouse gas (GHG) and other emissions from Pennsylvania’s industrial sector, the highest-emitting sector in the Commonwealth. Incentives and grants ranging from $25,000 to $300 million will be offered for small-, medium-, and large-scale decarbonization projects at industrial facilities. The financial support of the grant will address current funding gaps for industrial decarbonization projects in Pennsylvania.

EPA’s “Key Things to Know” about the Rise PA Grant

Based on information provided by the applicant, the selected project will deliver the following benefits to reduce GHGs and support communities:

Accelerate industrial decarbonization by funding shovel-ready projects at hundreds of facilities.
Reduce GHG emissions by at least 20% at each selected facility for the medium- and large-scale awards.
Leverage between $283 million and $973 million in additional private capital for industrial decarbonization projects.
Create high-quality jobs by ensuring prevailing wage requirements as established by the U.S. Department of Labor and apprenticeship requirements are met.
Improve air quality by reducing hazardous air pollutants, toxins, and other harmful substances.
Enhance the physical and economic wellbeing of low-income and disadvantaged communities.
Invest in equitable workforce development activities to meet increased job demands.
Provide replicable and scalable strategies to reduce GHG emissions in hard-to-abate sectors.

Activities in the selected application reflect measures in Pennsylvania’s Priority Climate Action Plan.

CPRG Background on Planning Grants

Original PA Planning Grant Award Announcement – PA to get $6 million in grants for climate change planning from EPA, April 17, 2023, Rachel McDevitt, StateImpact PA

EPA’s List of States and Metropolitan Statistical Areas (MSAs) that have received a CPRG planning grant – included PA DEP ($3 million), Southwestern Pennsylvania Commission ($1 million), Lehigh Valley Planning Commission (LVPC) ($1 million) and Delaware Valley Regional Planning Commission (DVRPC).

Rise PA – Next Steps

We anticipate that the PA CPRG team will develop an application process for the $396 million in grant funding potentially as early as September 2024. The best current information about potential goals may be found in the Pennsylvania’s Priority Climate Action Plan. A description of other potential Rise PA project funding sources, measuring metrics, related state agency programs and other foundational information can be found in the Rise PA Application Summary.

Excerpt from page 32 of Rise PA: Priority GHG Reduction Measures

The Pennsylvania PCAP incorporates GHG reduction measures aligned with the Commonwealth’s priorities to pursue funding opportunities under the CPRG program. PA’s PCAP GHG reduction measures encompass a broad range of project, program, and idea submissions from the state government, local authorities, regional planning agencies, individuals living in communities impacted by environmental justice issues, and other interested parties received by the PA CPRG team. The details of each measure, such as key implementers, implementation activities, and milestones, are intended to be informative but are not exhaustive of all opportunities to implement measures.

Notably, Pennsylvania acknowledges the potential far-reaching impact of leveraging the IRA tax incentives. While the clean technology adoption and utilization decisions are decentralized across the Commonwealth’s many residents and businesses, Pennsylvania can play a role in informing and engaging the public of the available opportunities, easing access to those opportunities with streamlined and simplified application requirements and technical support, and developing data-driven, targeted complementary policies to increase uptake economywide. The Commonwealth is exploring the potential of a centralized resource to coordinate and facilitate this streamlining and engagement, versus embedding these functions directly in their relevant measures and programs.

The measures in this document highlight the Commonwealth’s priorities, with a specific focus on opportunities within the industrial sector, where emissions have been growing and where there has been a smaller emphasis on programs, policies, and projects to reduce emissions. Six of the nine PCAP measures have potential to reduce emissions in the industrial sector (Industrial Electrification, Efficiency, and Process Emissions; Low Carbon Fuels; On-Site Renewable Energy; Carbon Capture, Use and Storage; Fugitive Emissions Reduction; and Net-Zero Electricity Grid.).