Many governments and organizations offer financial incentives, such as tax breaks or grants for energy-efficient upgrades, which offset investment costs. The State of Pennsylvania is actively promoting energy efficiency among manufacturers and the industrial sector through various funding initiatives, including the RISE PA Grant Program.
Just this year, Pennsylvania launched two new programs, the Reducing Industrial Sector Emissions in Pennsylvania (RISE PA) Grant Program and reduced–cost Level II ASHRAE energy audits.
$396 Million RISE PA Grant Program
The Pennsylvania Department of Environmental Protection (DEP) is offering a $396 million RISE PA Grant program, funded by the U.S. Environmental Protection Agency’s Climate Pollution Reduction Grants under the Inflation Reduction Act of 2022. Through the program, DEP will distribute up to $396 million in grants ranging from $25,000 to $220 million to projects that will lower climate pollution across Pennsylvania’s industrial sector.
Manufacturers have just 5 months to get their application in to gain access to these funds to invest in facilities and energy efficiency with state money.
– Applications Opened: February 26, 2025
– Applications Deadline: August 29, 2025
This initiative offers grants for decarbonization projects at industrial facilities, targeting reductions in greenhouse gas and co-pollutant emissions. RISE PA underscores Pennsylvania’s commitment to reducing emissions from the industrial sector, which accounts for over 30% of the state’s total greenhouse gas emissions. Projects costing between $50,000 and $1 million may receive base grants that cover 50% of the total project costs – meaning upfront costs savings up to $500,000. Additionally, projects locating in low income and disadvantages community (LIDAC) that include a Community Benefits plan, as well as projects that commit to a higher standard for labor may receive an additional 10% of total costs.
Eligible Projects Include:
- Energy efficiency upgrades
- Electrification
- On-site renewable energy installations
- Industrial process emissions
- Fuel switching
- Fugitive emissions reduction
- Carbon capture, utilization, and storage
Energy Assessments for Small to Mid-Size Manufacturers
In addition to the RISE PA Grant Program, Pennsylvania (DEP) launched a program offering reduced-cost Level II ASHRAE energy audits to small and mid-sized industrial facilities. These audits provide a comprehensive analysis of energy usage and recommend efficiency improvements, complete with cost-benefit evaluations and implementation steps. To qualify, facilities must have gross annual sales below $250 million and fewer than 500 employees at the plant site. The program aims to support up to 200 facilities, with a focus on disadvantaged businesses or those located in Environmental Justice areas.
There are three levels of energy audits, as defined by the American Society of Heating, Refrigerating, and Air-Conditioning Engineers (ASHRAE): a Level 1 “Walk-Through Audit,” a Level II “Energy Survey and Analysis” and a Level III “Investment Grade Audit.”
Connect with Environ
Let Environ’s Energy Advisors assist you and get your share of these incredible opportunities. Whether you’re pursuing an energy audit or applying for the RISE PA Grant Program, we’ll help you draft actionable energy efficiency plans for facilities using state funds to offset costs, where eligible. Email us at info@environenergy.com or get started here.