Pennsylvania Gov. Josh Shapiro joined PA Department of Environmental Protection Secretary Jessica Shirley to announce a $267 million investment that will reduce greenhouse gas emissions, lower energy costs and strengthen the state’s industrial sector.
The funding, part of the Reducing Industrial Sector Emissions in Pennsylvania Program, will go to 31 projects across the state, and are estimated to save Pennsylvania businesses more than $3.1 million in annual energy costs and reduce more than 1.3 million metric tons of carbon dioxide equivalent within their first year, once implemented. This funding is part of the Medium-scale Award Track (MAT) and Large-scale Award Track (LAT) of the RISE PA program. Shapiro secured $396 million in federal funding for RISE PA projects in 2024.
“As energy costs continue to rise as a result of economic chaos across the country and around the world, my Administration is helping Pennsylvania businesses lower their energy bills, create jobs, and reduce harmful air pollution,” Shapiro said. “Across the Commonwealth, I’ve heard from business owners who have told me that lowering emissions strengthens their operations, supports their workers and communities, and helps their bottom line — and my Administration is delivering hundreds of millions of dollars to support their efforts to invest in their operations. With these new RISE PA grants, businesses will be able to operate more efficiently, create more clean energy jobs, and strengthen our economy.”
Shapiro made the announcement at Gautier Steel Holdings with local officials, organized labor, and environmental protection leaders. Gautier Steel Holdings, an employee-owned steel manufacturer founded in 1852, operates a bar mill, producing hot rolled carbon, and alloy flats and squares. The company was awarded $1.9 million in MAT grant funding through RISE PA and will use the funds to upgrade the steel plant’s furnace and increase the plant’s energy efficiency. The company estimates the upgrades will reduce 7,800 metric tons of carbon dioxide equivalents in its first year alone.
“This project will drive a vital investment in innovative technology that will modernize the reheat furnace that is at the forefront of our 14-inch bar mills production line while significantly reducing the carbon emissions generated by our facility,” Dale Gray, President & CEO of Gautier Steel Holdings Inc, said.
The RISE PA grant program provides funding to industrial facilities for small-, medium- and large-scale project that demonstrate and investment in energy efficiency upgrades.
Eligible projects reduce emissions caused by burning fuels, leaks from industrial equipment, or chemical reactions associated with industrial processes. Officials said the industrial sector is the highest-emitting sector statewide, and accounts for more than 30 percent of the state’s total annual GHG emissions. Projects reduce emissions through electrification, efficiency improvements, low-carbon fuel switching, on-site renewable energy, carbon capture and storage technologies, as well as reducing fugitive emissions from natural gas, oil, and coal systems.