Pennsylvania $320 Million Funding for Industrial Decarbonization

The Pennsylvania Department of Environmental Protection on March 8 announced the availability for up to $320 million in funding for industrial decarbonization projects offered through its Reducing Industrial Sector Emissions in Pennsylvania, or RISE, program. Selected projects will utilize various innovative technologies to reduce greenhouse gas emissions from industrial processes, including electrification, increasing energy efficiency, switching to low-carbon fuels, renewable energy integration, and carbon capture, storage and utilization methods. The deadline for application submissions is on Aug. 29, 2025.

RISE is an industrial decarbonization initiative aimed at reducing Pennsylvania’s industrial sector greenhouse gas emissions, which currently make up over 30 percent of the state’s total emissions. The $396 million program receives funding through the U.S. Environmental Protection Agency’s Climate Pollution Reduction Grants under the 2022 Inflation Reduction Act. The agency recently announced several cancellations of grants previously awarded by the Biden administration for environmental justice and climate initiatives.

The program allows eligible entities to apply for funding under two tracks: Medium-Scale Award and Large-Scale Award. Examples of eligible applicants include owners and operators of industrial facilities involved in activities such as manufacturing and assembling of goods, construction, agriculture, mining, metals processing, oil and gas extraction. Other entities, such as Energy as a Service and Sustainability as a Service providers, industrial facility landlords, and similar organizations, may be eligible for funding if the project takes place at a qualifying industrial facility and all application requirements are met.

In 2024, the U.S. Energy Department announced up to $6 billion in funding to support industrial decarbonization projects across 20 states, which marked the largest decarbonization investment to date. The funding supported by the 2021 Infrastructure Investment and Jobs Act and the 2022 Inflation Reduction Act, specifically covers energy-intensive industries that are difficult to decarbonize.