The U.S. Department of Energy (DOE) is betting big on transforming America's industrial sector with a more than $43 million investment in breakthrough technologies aimed at slashing greenhouse gas emissions while boosting U.S. manufacturing competitiveness.
The funding will support 21 projects across two major programs, marking a significant step toward achieving the Biden-Harris administration's net-zero emissions goal by 2050.
"These investments will help the United States meet the Biden-Harris administration's goal of a net-zero economy by 2050," said Jeff Marootian, Principal Deputy Assistant Secretary of Energy Efficiency and Renewable Energy. "Through the deployment of cost-competitive technology solutions, the U.S. industrial sector can increase global manufacturing competitiveness while reducing emissions in communities across the country."
The initiative's largest component includes 16 projects under a $38 million funding opportunity focused on cross-sector technologies. These projects target three critical areas: electrification of industrial heat, efficient energy use in industrial systems, and decarbonizing organic wastewater treatment.
In a parallel effort, five additional projects will be developed through the newly established EPIXC Institute at Arizona State University, which aims to reduce manufacturing CO2 emissions by up to 60 million metric tons over the next 15 years. These projects will focus specifically on developing innovative electric heating solutions for chemicals, steel, and cement manufacturing.
The investments align with DOE's ambitious Industrial Heat Shot initiative, which seeks to develop cost-competitive industrial heat decarbonization technologies that achieve at least 85% lower greenhouse gas emissions by 2035.
The selected projects span a wide range of innovations, from advanced membrane solutions for energy-efficient separations to laser-based drying technologies. All projects will be supported through DOE's Technologies for Industrial Emissions Reduction Development (TIEReD) Program, which leverages resources across the department's applied research offices.
Industry experts note that this funding comes at a crucial time, as the U.S. seeks to maintain its competitive edge in global manufacturing while transitioning to cleaner technologies. The initiative is expected to create new jobs while helping reduce emissions in communities across the country.
DOE officials emphasized that the selection for award negotiations is not a final commitment, and all projects will undergo a thorough negotiation process before funding is issued.
Technical Targets and Implementation Timeline
The Industrial Heat Shot's ambitious goals are backed by specific metrics and milestones. According to DOE's technical specifications, successful implementation of the program would put the American industrial sector on track to reduce its carbon-equivalent emissions by 575 million metric tons by 2050.
Speaking at the Industrial Heat Shot Summit, DOE's Giulia Siccardo emphasized the immediate opportunities for industry: "We see approaches for many processes today that not only reduce emissions but also improve the bottom line, things like waste recovery, electrical efficiency upgrades against control systems, all commercially available solutions that companies can adopt today. A good deal of our funding is actually focused on manufacturing sector improvements, driving and deploying these technologies."
The initiative focuses on three key pathways:
- Electrification of industrial heat processes
- Integration of clean energy sources for heat generation
- Development of energy efficient industrial systems
Among the early success stories is Rondo Energy, which secured $60 million in financing to accelerate the deployment of zero-carbon industrial heat solutions. Such private sector investments demonstrate growing industry confidence in the initiative's approach.
Siccardo highlighted the scale of investment required for the transition: "If we look at the amount of investment that is going to be needed to get to net zero, that is going to move into the trillions ... 700 billion to over a trillion dollars in capital required by 2050."
The current funding round builds on these early successes, with particular emphasis on scalable solutions that can be implemented across different industrial sectors. The cross-sector approach is designed to maximize the impact of the investments while accelerating the adoption of proven technologies.
