Washington, D.C. – As part of President Biden Investing in America’s agendaThe US Department of Energy announced a package of $15.5 billion in financing and loans focused primarily on retooling existing plants for the transition to electric vehicles — supporting good jobs and a just transition to electric vehicles. This includes saving $2 billion Grant and up to $10 billion in loans to support auto manufacturing transformation projects that maintain high-quality jobs in the communities that currently host these manufacturing facilities. In the Local Transfer Scholarship Program, higher scores will be given to projects that are more likely to maintain collective bargaining agreements and/or those with a high-quality, productive workforce and high hourly wages, such as applicants who currently pay top quartile wages in their industry. As announced by the department a Notice of Intent To provide $3.5 billion in financing to expand domestic manufacturing of electric vehicle batteries and the country’s grid, in addition to battery materials and components currently imported from other countries. The Notice of Intent outlines how the DOE will support growing domestic industry while also supporting manufacturing workers and promoting environmental equality and justice. Together, these are federal investments Underscore President Biden’s deep commitment To help preserve and expand high-wage manufacturing jobs while empowering workers to have a powerful voice in and benefit from the economic benefits of the clean energy transition. President Investing in America’s agenda It also works to strengthen our national security by building the domestic supply chains needed to meet the administration’s ambitious climate goals.
“President Biden is investing in the workforce and factories that have made our country a global manufacturing powerhouse,” he said. US Secretary of Energy Jennifer M. Granholm. “Today’s announcements show that President Biden understands that building the cars of the future also entails helping communities facing the challenges of transitioning away from the internal combustion engine.”
Depending on their capital needs, manufacturers can apply for assistance via grant money through the Department of Energy’s Manufacturing and Energy Supply Chains (MESC) office or preferred debt financing through the Department of Energy’s Office of Loan Program.
Transforming and modernizing manufacturing plants in America
Today, the Department of Energy announced a new $2 billion Funding opportunity To catalyze the conversion of long-established facilities to manufacture electric vehicles and components. With the support of President Biden’s Inflation Reduction Act, the Local Manufacturing Transformation Grants For the Electric Vehicle Program, it will provide cost-sharing grants for local production of efficient hybrid, plug-in hybrid, electric motor, and hydrogen fuel cell electric vehicles. This program will expand the manufacturing of light, medium and heavy electric vehicles and components and support commercial facilities including those for vehicle assembly, component assembly and related vehicle parts manufacturing. The program aims to support the just transition of workers and communities in the transition to electrified transportation, with particular attention to communities that support facilities with the longest history of manufacturing vehicles. Preference will also be given to enterprises that commit to paying high wages to production workers and maintaining collective bargaining agreements.
Projects selected for this funding must also contribute to the President’s Justice40 initiative, which aims to advance diversity, equality, inclusion, and access in the American workforce and ensure that every community benefits from the transition to a clean energy future. This funding supports the goals and objectives detailed in 100-day reviews under Executive Order 14017 American Supply Chains and the Federal Advanced Battery Association National scheme for lithium batteries“, which provides a way to build a strong domestic battery supply chain and accelerate the development of a strong, safe and fair domestic industrial base by 2030.
Concept papers are due on October 2, 2023, and the deadline for full submissions is December 7, 2023. Learn more about it Funding opportunity.
Benefiting from the loan authority for auto manufacturing transformation projects
The DOE is also making available up to $10 billion in loan authority available for applications under the Advanced Technology Vehicle Manufacturing Loan Program to auto manufacturing transformation projects that maintain high-quality jobs in communities that currently host manufacturing facilities. Examples include retaining higher wages and benefits, including workplace rights, or, in the case of facility replacement projects, obligations such as keeping the existing facility open until the new facility is completed. For projects seeking financing to convert or directly replace an existing plant containing high-quality jobs, the Department of Energy will evaluate the expected economic impacts of converting the facility compared to the existing facility, including factors such as contribution to the local economy, employment history, expected employment and duration. existence. Interested applicants can learn more about how to apply for these projects here.
Promote US battery manufacturing, and strengthen domestic supply chains
The Department of Energy also announced today its intention to invest approximately $3.5 billion to boost the production of advanced batteries and battery materials that are essential to the fast-growing clean energy industries of the future, including electric vehicles and energy storage. this Notice of intent— made possible by the President’s bipartisan Infrastructure Act — represents the second round of funding for battery materials processing and battery manufacturing grants to support the construction of new, modernized, and expanded domestic commercial facilities for battery materials, battery components, and cell manufacturing. the Notice of intent Shows how the second round will support growing domestic industry, support manufacturing workers, and promote environmental equality and justice. The program will support communities with experienced auto workers and a history of vehicle production, applicants with strong workforce practices, and applicants who plan to create high-quality jobs.
Today’s ads are made possible by President Biden’s announcement Investing in America’s agenda, which works to grow the American economy from the bottom up and from the middle out by rebuilding our country’s infrastructure, driving more than $500 billion in private manufacturing and clean energy investments in the United States, creating good-paying jobs, supporting collective bargaining, and building… American economy. The clean energy economy that will fight the climate crisis and make our societies more resilient.
Both a conversion and battery manufacturing grant funding opportunity Notice of intent It will be managed by Misk. Learn more about Misk’s mission to strengthen and secure the manufacturing and energy supply chains needed to modernize the country’s energy infrastructure and support the transition to clean and equitable energy. The conversion project credits are provided by ATVM, which is administered by the LPO. Learn more about ATVM projects and eligibility requirements.