Pennsylvania Governor Rendell Announces $10 Million for Clean Energy Investments

Governor Edward G. Rendell today announced Pennsylvania will create jobs in the rapidly growing alternative energy industry and provide affordable, reliable energy for commonwealth businesses and residents by investing $10 million in new clean energy projects.

"Pennsylvania is changing the way clean energy is produced and distributed," Governor Rendell said. "This $10 million investment will continue the commonwealth's leadership in one of the most important issues of our time: energy security.

"These grants will leverage private investments to deploy the next generation of clean, renewable energy sources made in Pennsylvania. We are putting Pennsylvania at the front of the line in one of the most dynamic industry sectors in the world and creating jobs that lift up commonwealth families and help our businesses grow."

Governor Rendell made $5 million in grants available for the third round of Pennsylvania Energy Development Authority funding. Brought back to life by the Governor after years of inactivity, PEDA has awarded $15 million in grants and loans for 41 clean energy projects that will leverage another $200 million in private investment. The projects will create 1,558 permanent and construction jobs. Research projects, if successful, could net as many as 327 full-time jobs.

The Governor also announced $5 million in available grants for the fourth round of funding under the Pennsylvania Energy Harvest Grant Program. The program has awarded $15.9 million and leveraged another $43.7 million in private funds for more than 100 clean energy projects since its inception in 2003.

Both programs will begin accepting applications May 8. The deadline for receipt of applications for both programs is July 14.

"These financing programs are a cornerstone of Governor Rendell's strategy to provide clean, reliable energy from Pennsylvania sources," Environmental Protection Secretary Kathleen A. McGinty said.

"By leveraging these grants with private investments to promote energy production, and by using the state's leadership to advance energy efficiency and conservation, we will turn our energy challenges into opportunities to create the jobs we need and secure a higher quality of life through environmental improvements," McGinty said.

Energy Harvest grants will fund innovative energy deployment projects that emphasize protecting Pennsylvania's air or water quality while supporting economic development and enhancing the quality of life in the commonwealth.

Eligible proposals include renewable energy deployment, including biomass energy; waste coal reclamation for energy; deployment of innovative energy efficiency technologies; and distributed generation projects.

Applicants for PEDA financing can seek grant assistance for capital costs for a variety of innovative, advanced energy projects and for businesses interested in locating their advanced energy operations in Pennsylvania.

Eligible PEDA projects may include solar energy; wind; low-impact hydropower; geothermal; biologically derived methane gas, including landfill gas; biomass; fuel cells; coal-mine methane; waste coal; integrated gasification combined cycle; demand management measures, including recycled energy and energy recovery, energy efficiency and load management; and clean, alternative fuels for transportation.

PEDA project priorities include solar, distributed generation for critical public infrastructure and clean, alternative fuels for transportation.

Proposals will be evaluated on a variety of criteria, including ability to promote Pennsylvania's indigenous energy resources, encourage energy diversity and enhance energy security. Projects will be judged on the potential to create jobs and stimulate investment in the commonwealth. Potential environmental benefits, as well as technical feasibility and cost- effectiveness, also will be considered.

PEDA and Energy Harvest are among a number of clean energy initiatives launched by Governor Rendell.

Pennsylvania is home to one of the nation's most progressive alternative energy portfolio standards, ensuring that 18 percent of all energy generation comes from clean, efficient sources by 2020. Benefits of the policy include $10 billion in increased output for the commonwealth, $3 billion in additional earnings and as many as 4,000 new jobs for residents over the next 20 years.

Pennsylvania remains a leader in wind production east of the Mississippi, providing enough clean energy to power some 70,000 homes. Gamesa, the second largest wind energy company in the world, is investing $84 million in Pennsylvania for four manufacturing facilities and its North American headquarters. As many as 1,000 jobs will be created over five years.

The nation's very first coal gasification-liquefaction plant is proposed for Schuylkill County. Construction of Waste Management and Processors Inc.'s waste-coal-to-diesel plant would create as many as 1,000 jobs; operating the plant would produce another 600 permanent, high-paying positions. The proposed plant would clean up tens of millions of tons of waste coal while giving the state and consumers clean diesel at a fraction of the market price.

The Governor also launched the East Coast's first commercially viable biofuels storage and blending system in Middletown, Dauphin County. The plant will replace 3.2 million gallons of foreign oil with domestically produced biodiesel and will keep about $6 million worth of energy dollars in the commonwealth by reducing the state's need to purchase imported fuels.

Pennsylvania recently was recognized for its national energy leadership in working to put landfill gas to work for the economy. Granger Energy's Lanchester Landfill project supplies treated gas to several companies to use in place of natural gas in boilers and processes, displacing their reliance on natural gas. Putting this resource to use to power the economy offers a clean, cheap energy supply that businesses can use to keep jobs in Pennsylvania.

For more information, please visit http://www.depweb.state.pa.us, Keywords "PEDA" and "Energy Harvest."

The Rendell Administration is committed to creating a first-rate public education system, protecting our most vulnerable citizens and continuing economic investment to support our communities and businesses. To find out more about Governor Rendell's initiatives and to sign up for his weekly newsletter, visit his Web site at: http://www.governor.state.pa.us.

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