Biden Uses War-Time Law to Fund Heat Pumps Citing Climate Crisis
(Bloomberg) -- The Biden administration is using the emergency powers of a Cold War-era law to fund more domestic manufacturing of electric heat pumps, which the White House says is needed to help stave off climate change and increase domestic security.
The Energy Department announced Friday it was using the 1950s Defense Production Act for a $169 million award for 9 projects across the country by companies such as Honeywell International Inc. and Copeland LP to accelerate production of heat pumps and components.
Electric heat pumps, a greener alternative to conventional furnaces, are needed to reduce the nation’s reliance on fossil fuels and increase energy independence, according to the Energy Department. Heating and cooling buildings, according to the department, are responsible for more than 35% of US energy consumption.
The Defense Production Act was harnessed by President Harry Truman to make steel for the Korean War and to spur mask production during the coronavirus pandemic by former President Donald Trump who also invoked the law to prop-up money-losing coal plants.
The Energy Department said it plans to use the law for another round of spending in 2024 to secure domestic manufacturing supply chains and that last year it was considering using the emergency powers to boost production of solar panels, transformers and hydrogen fuel cells.
“Today’s Defense Production Act funds for heat pump manufacturing show that President Biden is treating climate change as the crisis it is,” said John Podesta, the president’s senior adviser on clean energy.
©2023 Bloomberg L.P.
KEEPING THE ENERGY INDUSTRY CONNECTED
Subscribe to our newsletter and get the best of Energy Connects directly to your inbox each week.
By subscribing, you agree to the processing of your personal data by dmg events as described in the Privacy Policy.
More renewables news

Global ESG Market Shrinks After Sizable Decline in US
Nov 29, 2023
Chinese Oil Refiners Spend Heavily to Tap Clean Energy Boom
Nov 29, 2023
Rockefeller Foundation Makes Net Zero Pledge for $6 Billion Endowment
Nov 28, 2023
EU’s Hoekstra Tells Non-G7 States They Need to Pay Up on Climate
Nov 27, 2023
China Solar and Storage Firms Face Challenging 2024: BNEF Summit
Nov 27, 2023
How Ferrari’s CEO Stays Ahead of His Competition
Nov 24, 2023
Cocoa Farming Lures New Money as Brazil Is Set to Revive Exports
Nov 24, 2023
COP28 Holds Key to Global Carbon Market That Could Help Improve Offsets
Nov 24, 2023
Green Bond Sales Surge in UAE Before It Hosts Climate Summit
Nov 23, 2023
Australia to Significantly Bolster Green Energy Investment
Nov 22, 2023
There is a lot of hope in hydrogen
Nov 17, 2023
The important role of Scope 3 emissions in a circular economy
Nov 16, 2023
Realising the power of AI to drive real-time optimisation
Nov 15, 2023
SERTECPET focused on promoting sustainability in the oil and gas sector
Nov 15, 2023
Digitalisation can act as a driver for decarbonisation
Nov 14, 2023
The trillion-dollar opportunities on the road to net zero
Aug 16, 2023
Unlocking growth opportunities in sustainable finance
Jul 12, 2023
Decoding the trends shaping the future of energy
Jun 14, 2023
Exploring ESG’s critical role in the journey to net zero
May 18, 2023
Clearing the air on carbon markets in the Middle East
Apr 26, 2023Partner content

IT/OT convergence: balancing agility and reliability

Technologies that can help the oil and gas industry decarbonise

World-class energy management systems can shape a sustainable future

Automation is the key to LNG present and the future scenario for hydrogen
