Secretary Chu Announces $256 Million for Industrial Energy Efficiency

June 01, 2009

U.S. Department of Energy Secretary Steven Chu today announced plans to provide $256 million from the American Recovery and Reinvestment Act to support energy efficiency improvements in major industrial sectors across the American economy. The funding is targeted at reducing the energy consumption of America's manufacturing and information technology (IT) industries, while creating jobs and stimulating economic growth. These programs will help create manufacturing jobs quickly, along with jobs for technicians and experts who will be needed in the long-term to maintain and operate the new equipment.

"Supporting the development of the latest industrial technologies plays an important role in helping U.S. industry to lead the world in energy efficiency and productivity," said Secretary Chu. "Working together with American manufacturing and IT industries, we will be able to create new jobs, reduce industrial energy use and limit damaging greenhouse gas emissions."

Projects being funded under the Recovery Act will focus on three main areas.

Combined Heat and Power, District Energy Systems, Waste Energy Recovery Systems, and Efficient Industrial Equipment ($156 Million)

Combined Heat and Power, District Energy, and Waste Energy Recovery deployment and demonstration projects under the Recovery Act represent proven and effective near-term energy options to help the United States enhance energy efficiency, ensure environmental quality, promote economic growth, and foster a robust energy infrastructure. These technologies can be deployed in industrial and residential settings to improve efficiency, control costs, and limit greenhouse gas emissions—making U.S. industry more productive and more competitive. Combined Heat and Power and District Energy Systems can achieve efficiencies of 80% or better compared to roughly 45% for conventional heat and power production; waste recovery systems have the potential to save 17 gigawatts of energy nationwide annually.

Improved Energy Efficiency for Information and Communication Technology ($50 Million)

As information and communication technology (ICT) services continue to converge, these industries face increasingly similar challenges to control the power usage of their microprocessors or servers and supporting power and cooling systems. This project will select and fund applicants to conduct research, development, and demonstration projects to promote new technologies that improve energy efficiency in the ICT sector.

Advanced Materials in Support of Advanced Clean Energy Technologies and Energy-Intensive Processes ($50 Million)

DOE will support research, development, and demonstration projects for advanced industrial materials that can be used in fuel flexibility programs, combined heat and power technologies, energy intensive processes, and nanomaterials and nanomanufacturing. These projects will help the American industrial sector increase competitiveness, while rapidly introducing advanced technologies.

For more information on these opportunities and to view the Funding Opportunity Announcements visit the U.S. Department of Energy's Recovery and Reinvestment Web site.