by The Biden administration announced $6 billion in funding Monday for projects that will reduce emissions from the industrial sector – the largest US investment ever to decarbonize domestic industry to fight climate change.
The industrial sector is responsible for around 25% of all the nation’s emissions, and has been difficult to decarbonise due to its energy-intensive operations.
Iron, steel, aluminium, food and beverage facilities, concrete and cement are some of those involved in this initiative. Among those receiving the funding, which is coming from the Inflation Reduction Act and the Bipartisan Infrastructure Law, are 33 demonstration projects in more than 20 states.
Energy Secretary Jennifer Granholm said during a call with the news media that the technologies being funded are “deployable,” “scalable,” and “will set a new gold standard for clean manufacturing in the United States and around the world .” White House climate adviser Ali Zaidi said the funding aims to eliminate 14 million metric tons of pollution each year, equivalent to taking about 3 million cars off the road.
Funded projects include:
—The Century Aluminum Company plans to build the first new primary aluminum smelter in the US in 45 years. The plant would double the size of the current US primary aluminum industry while avoiding an estimated 75% of emissions from a traditional facility, with its energy-efficient design and clean energy use, according to DOE.
—Constellium in Ravenswood, West Virginia, is to operate a zero-carbon aluminum smelting plant and install low-emissions furnaces that can use clean fuels such as hydrogen. The company produces aluminum for a range of products including cars and airplanes.
—Kraft Heinz will install heat pumps, electric heaters and electric boilers to decarbonize food production at 10 facilities, including in Holland, Michigan.
—Cleveland-Cliffs Steel Corporation in Middletown, Ohio, will shut down one blast furnace, install two electric furnaces, and use hydrogen-based ironmaking technology. The project aims to eliminate 1 million tons of greenhouse gas emissions each year from the largest supplier of steel to the US auto industry.
—Heidelberg Materials US, Inc. will build system that will capture and store carbon underground at its plant in Mitchell, Indiana. The project aims to capture at least 95% of the carbon dioxide emitted by the cement plant, which will prevent 2 million tons of carbon dioxide from entering the atmosphere each year.
“I think the United States can be a leader here,” said Mike Ireland, president and CEO of the Portland Cement Association, a nonprofit that promotes cement and concrete. Ireland said developing countries in the Global South can adopt the innovative cement and concrete technologies being scaled in the US to build highways and buildings more sustainably.
There aren’t many U.S. plants that manufacture pure steel, and even fewer that make virgin aluminum, so tackling emissions at even just a few facilities could go a long way toward reducing the country’s carbon footprint, Todd Tucker said. at the Roosevelt Institute, the non-profit partner. Franklin D. Roosevelt Presidential Library and Museum. Once the decarbonization methods are proven, the technology could be exported globally for a more dynamic climate benefit, said Tucker, director of the think tank on industrial policy and trade.
Decarbonizing the electricity and transportation sectors is at the heart of the climate conversation and there are generous federal subsidies for the solutions, primarily using renewable energy for power generation and the adoption of electric vehicles, Tucker said.
But he noted that it is more difficult to reduce emissions in heavy industries that rely on fossil fuels to create the high heat and chemical reactions required for their operations.
“It will be very useful to start this with these first few projects to convince the industry that this transition is possible, and also, more importantly, to convince Wall Street that the This transition is possible,” said Tucker. “The first trick is to show that it is viable in one project. When you do that, the private and public sectors can come up with strategies for the rest of the problem.”
New aluminum production in the United States has declined sharply in recent years, particularly in recent years, largely due to energy costs, said Annie Sartor, director of aluminum at the green industry advocacy organization Industrious Labs. The process uses a huge amount of electricity which is about 40% of the cost, Sartor said.
“Historically these facilities have been located near cheap fossil energy. And today, coal, or coal and gas in the 21st century, is no longer on holiday,” she said. “These facilities that rely on fossil energy to operate cannot compete in the global aluminum market. And they are closing. “
The investment for Century Aluminum Company is a game-changer, Sartor said, because the transition to producing new aluminum with 100% clean energy will help the climate, stabilize the industry and create jobs.
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