PA DEP Launches $320M RISE PA Program to Cut Industrial Emissions

The Pennsylvania Department of Environmental Protection (PA DEP) has opened the application window for its Medium- and Large-scale Award Tracks under the Reducing Industrial Sector Emissions in Pennsylvania (RISE PA) Program, offering up to $110 million per award for transformative industrial decarbonization projects. Applications will be accepted through August 29, 2025.

With an estimated $320 million available for this round, RISE PA seeks to drive down greenhouse gas (GHG) emissions from Pennsylvania’s industrial base while generating economic growth and high-quality job opportunities. Projects must demonstrate the potential to cut at least 20% of annual facility-wide GHG emissions to qualify and are eligible for base grants covering up to 30% of total project costs.

Additional bonus funding—worth another 30%—is available for projects that provide enhanced community, labor, or environmental benefits. If all criteria are met, applicants could receive reimbursement for up to 60% of their total project costs.

“Thanks to the meticulous planning and collaboration over the past several months, we are now poised to move confidently into construction,” said Amit Nadkarni, Doral Renewables SVP of Project & Asset Management. “We remain deeply committed to the highest standards of safety, quality, and environmental stewardship throughout this phase. We are equally focused on fostering strong community relationships, ensuring meaningful local participation from the workforce and vendors, and supporting the county through direct, indirect, and induced economic benefits.”

Strategic Decarbonization Targets

The RISE PA Program is a cornerstone of Pennsylvania’s strategy to lower industrial emissions, which currently account for more than 30% of the state’s total GHG output. The program supports a wide array of industries, including manufacturing, mining, and energy production, with the aim of eliminating millions of tons of GHGs and co-pollutants by 2029.

All projects must be completed prior to the program’s expected sunset date of April 1, 2029. The PA DEP anticipates two funding rounds per year until the full $396 million in program funds are distributed.

Grant Details and Bonus Opportunities

Base grant awards are structured around project size:

• Medium-scale projects can receive up to $20 million
• Large-scale projects are eligible for awards of up to $110 million

Bonus incentives of up to 10% each are available for:

1. Community Benefits – Projects in low-income or disadvantaged communities with a certified community benefits plan
2. Fair Labor Standards – Projects that meet specific workforce requirements
3. Enhanced Emission Reductions – Projects that exceed the 20% emissions reduction threshold

Eligible Technologies and Measures

Qualifying projects must incorporate one or more of the following GHG reduction strategies:

• Industrial Electrification: Including electric heat pumps, zero-carbon process heating, and other electric systems
• Energy Efficiency: Such as waste heat recovery, advanced insulation, smart sensors, and CHP systems
• Process Emissions Reduction: Including industrial recycling and process efficiency technologies
• Fugitive Emissions Control: Technologies like regenerative oxidizers and specialized ventilation systems
• Fuel Switching: Adoption of low-carbon fuels like clean hydrogen or biomass systems
• On-site Renewable Energy: Solar, wind, geothermal, and micro-hydro solutions
• Carbon Capture, Utilization, and Storage (CCUS): Including post-combustion carbon capture and other advanced methods

Labor, Procurement, and Compliance Requirements

Applicants must adhere to federal standards such as the Build America, Buy America Act (BABA), the Davis-Bacon Act (DBA), and the National Environmental Policy Act (NEPA). Registered apprenticeship and prevailing wage requirements are also enforced, though flexibility is allowed in regions where training programs are unavailable.

Projects ineligible for RISE PA funding include those already receiving federal tax credits under Section 48C(e), those strictly required for legal compliance, or those related to orphan well plugging unless they go beyond regulatory requirements.

Program Resumption and Federal Partnership

Initially delayed due to federal funding issues, the program was reinstated following confirmation by Pennsylvania Governor Josh Shapiro on February 24, 2025, that funds provided under Section 60114 of the Inflation Reduction Act (IRA) remain available through the U.S. Environmental Protection Agency (EPA).

RISE PA staff have confirmed that the program is operating under its approved work plan and agreement with the EPA. Applicants are encouraged to submit proposals for this significant industrial decarbonization initiative.

Originally reported by HK Law.