The United States Department of Energy (DOE) is making a significant investment in the future of clean energy by allocating over $3 billion to 25 projects across 14 states. These projects are specifically designed to bolster domestic production of advanced batteries and materials, a crucial element in the transition towards a sustainable energy future.
Over half of the selected projects have committed to or signed a Project Labor Agreement, demonstrating a commitment to union labor and creating good-paying jobs. In fact, these projects, once finalized, are expected to generate over 8,000 construction jobs and 4,000 operating jobs, providing a much-needed boost to local economies.
This initiative aligns perfectly with the Biden administration’s Investing in America agenda, which aims to revitalize American manufacturing and create a more resilient domestic supply chain for critical technologies. This funding complements a massive $120 billion private sector investment in the electric vehicle (EV) supply chain, highlighting the growing importance of this sector.
The selected projects encompass a wide range of activities, including improvements to facilities for producing battery-grade materials, components, manufacturing, and recycling. The DOE is leveraging grants and loans to ensure the development of a robust and sustainable battery manufacturing supply chain. This effort is part of the broader Battery Materials Processing and Manufacturing Program, which will ultimately generate $16 billion for battery production and recycling.
Secretary of Energy Jennifer M. Granholm expressed enthusiasm about the program, stating that it signifies a “manufacturing revival” in the United States. Senior Advisor to President Biden for International Climate Policy, John Podesta, echoed these sentiments, emphasizing the program’s role in boosting American manufacturing, creating jobs, and addressing the climate crisis.
Several prominent companies are receiving funding for their battery-related projects. Albemarle Corporation will receive $67 million for a North Carolina project focused on producing commercial quantities of anode material for next-generation lithium-ion batteries. Dow Inc. is set to receive $100 million to produce battery-grade carbonate solvents for lithium-ion battery electrolytes. Honeywell International Inc. will receive $126.6 million to construct a commercial-scale facility in Louisiana for producing a key electrolyte salt essential for lithium batteries.
These investments highlight the DOE’s commitment to developing a robust and sustainable battery manufacturing ecosystem in the United States. The focus on creating good-paying union jobs, supporting local economies, and tackling the climate crisis makes this initiative a significant step towards a cleaner and more sustainable future.
