U.S. DOE Announces Additional $63 Million to Speed Up Heat Pump Production

An extra $63 million (€58.5 million) in funding has been announced by the U.S. Department of Energy (DOE) to boost American production of home heat pumps, heat pump water heaters, and related systems and components.

The DOE announced in November 2023 that $169 million (€157.1 million) will be funded to nine projects nationwide to increase domestic heat pump production. This news follows that announcement. Similar to the $169 million in financing, the DOE's most recent announcement contained no mention of natural refrigerants or varieties of refrigerant.The 2022 Inflation Reduction Act (IRA) supplied both financing tranches, and the Defence Production Act (DPA) allowed the Biden administration to direct the funds towards heat pump manufacturing. The Biden administration used climate change as justification for using the Defence Production Act (DPA), which gives the president the authority to control domestic production in the interest of national defence.

"These Defence Production Act dollars will further amp up domestic heat pump manufacturing to meet increasing consumer excitement, reduce emissions, and create clean energy jobs across the country as part of the Biden-Harris Administration's commitment to address the climate crisis,” stated U.S. Secretary of Energy Jennifer Granholm.

Source: DOE