Strategic Funding Priorities and Energy Vision

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Oregon Department of Energy (ODOE)

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Oregon Department of Energy (ODOE)

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Energy

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April 2023

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#1Oregon Department of ENERGY University of Oregon Virtual Convening: State Implementation of IRA and IIJA Janine Benner Director COOS BAY FIRE & RESCUE D OREGON DEPARTMENT OF ENERGY#2OREGON DEPARTMENT OF ENERGY Leading Oregon to a safe, equitable, clean, and sustainable energy future. Our Mission The Oregon Department of Energy helps Oregonians make informed decisions and maintain a resilient and affordable energy system. We advance solutions to shape an equitable clean energy transition, protect the environment and public health, and responsibly balance energy needs and impacts for current and future generations. What We Do On behalf of Oregonians across the state, the Oregon Department of Energy achieves its. mission by providing: . • A Central Repository of Energy Data, Information, and Analysis A Venue for Problem-Solving Oregon's Energy Challenges Energy Education and Technical Assistance. Regulation and Oversight • Energy Programs and Activities 2#3IIJA includes nearly $100 Billion in additional funding for infrastructure projects. Oregon communities may have an opportunity to receive additional energy-related funding from IIJA for: 4 Energy efficiency and conservation Transmission lines 4 Smart grid investments. 4 Energy efficiency and renewable energy improvements at public schools. 4 Technical assistance and training on building codes 4 Zero emission school buses 4 EV charging infrastructure 4 Projects to improve the energy resilience of ports 4 Battery recycling 4 Hydrogen commercialization and deployment 4 Carbon capture and utilization 4 Smart manufacturing technology Energy workforce development OREGON DEPARTMENT OF ENERGY 3#4Scope of the Funding under the Inflation Reduction Act LOAN Clean Energy Business Loans Energy Grid & Industry $9B U.S. DOE Affordable Housing $1B U.S. HUD Clean Transportation $7B U.S. EPA Home Energy Rebates $9B U.S. DOE Energy Code Assistance $1B U.S. DOE $14B U.S. DOE Energy Tax Credits ~$277B* U.S. Treasury CO₂ Greenhouse Gas Reduction Fund Enviro. Justice Block Grants Rural Energy Assistance $27B U.S. EPA $3B $12B U.S. EPA USDA Coastal Climate Resilience $2.6B NOAA + Other Programs ~$7B Various Agencies 4#5COMMUNITY ENGAGEMENT ● • • • • What We've Done Two general public webinars in the summer of 2022 Information on ODOE website, newsletters, and blog Meeting with ODOE's Energy Advisory Work Group Meetings with Investor and Consumer Owned Utility representatives Outreach to Tribal Governments Inform • Consult • • Collaborate . Workforce development workshop Listening session with community-based organizations representing environmental justice communities Presented to legislative task forces and committees Public hearings and webinars on Grid Resilience, EECBG, and Hydrogen Hubs opportunities Condensed feedback into Guiding Principles to direct our efforts 5#6START PRIORITIZING FUNDING/PROJECTS Biden-Harris Administration Priorities • Invest public dollars efficiently, avoid waste, and focus on measurable outcomes . Buy American and increase competitiveness of U.S. economy • Create good-paying job opportunities by focusing on high labor standards • Invest public dollars equitably, including through Justice40 Initiative • Build resilient infrastructure that can withstand the impacts of climate change and that helps combat the climate crisis • Effectively coordinate with State, local, Tribal, and territorial governments OREGON DEPARTMENT OF ENERGY#7START PRIORITIZING FUNDING/PROJECTS ODOE's Mission • • • • · • • Informed Oregonians Resilience of energy system Affordability of energy system Transition to a clean energy future Equitable transition Protecting environment and public health Balancing energy needs and impacts OREGON DEPARTMENT OF ENERGY ODOE's Authorizing Statutes • • • • Renewable, sustainable, and diverse energy forms Efficient use of resources State leadership in energy production, distribution, conservation Prioritize basic human needs in allocation of energy resources Preserve and enhance environmental quality Energy efficient modes of transportation Cost-effectiveness State government to provide impartial and objective information . • • Strategic Plan Expand and improve stakeholder engagement Build practices and processes to achieve more inclusive and equitable outcomes Assess and enhance organizational data capabilities • Assess and modernize agency programs and activities • Optimize organizational efficiency and impact 7#8ODOE GUIDING PRINCIPLES Considering equity at every step, including geographic diversity. This will help ensure that the funds comply with the Biden-Harris Administration's Justice 40 initiative to distribute at least 40% of the benefits to disadvantaged communities. Coordinating with tribal governments and communicating clearly, inclusively, and efficiently to ensure stakeholders and the public are informed and supported, and that they participate in federal funding opportunities. Where possible and internal resources allow, providing technical assistance to build community capacity and support grant recipients. Building cross-agency partnerships to leverage expertise and support historically underinvested work to further energy and climate goals and to provide other community benefits. Taking advantage of high-priority funding opportunities while ensuring quality work that puts every available dollar to its best use. OREGON DEPARTMENT OF ENERGY 8#9JUSTICE40 INITIATIVE Executive Order 13985 - Advancing Racial Equity and Support for Underserved Communities Through the Federal Government Executive Order 14008 - Tackling the Climate Crisis at Home and Abroad Targets 40% of overall benefits of federal investments to disadvantaged communities OREGON DEPARTMENT OF ENERGY 6#10140 Tolo Table Rock Central Point MFR Climate and Economic Justice Screening Tool Medford Jacksonville White City Roxy Ann Peak Phoenix Baldy чили Talent Astoria Portland Salem Corvallis Ashland Eugene Bend OREGON Boi Coos Bay Medford Communities that are disadvantaged live in tracts that experience burdens. These tracts are highlighted O on the map. https://screeningtool.geoplatform.gov/en/#10.12/42.3186/-122.8033#11GRANT OPPORTUNITIES ODOE IS CLOSELY FOLLOWING Federal Planning Application Open Pending Awarded Future GRIP cycles Energy Auditor Grid Resilience EECBG $1.9 Million SEP $5.6 Million Amount TBD REAP Funds HOMES $57 Million $50 Million CPRG Planning - $500K National Clean Investment Fund HEEHR $56 Million Clean Contractor Training Communities Investment Accelerator CPRG- Implementation Amount TBD Amount TBD Latest and Zero Building Codes Amount TBD Solar for All Amount TBD Resilient and Efficient Codes Hydrogen Hub Key Red IIJA Formula Orange = IIJA Competitive Teal IRA Formula = Green IRA (unknown Form/Comp) = Gray IRA Competitive Circle ODOE is not/may not be = a lead applicant June 2023#12Energy Planning & Analysis Oregon has applied to US DOE for $5.6 million under the IIJA State Energy Program, a formula grant program that supports the agency's work in planning, research, analysis, and programs that promote energy security, energy efficiency, renewable energy, resilience, and sustainable transportation. ODOE submitted an application to U.S. DOE in December 2022 and received funding in May 2023. ODOE will be working on establishing reporting metrics this summer in partnership with US DOE. OREGON DEPARTMENT OF ENERGY#13Grid Resilience ODOE is eligible for $50 million in funding over five years to help make Oregon's electric grid more resilient. ODOE's program will improve the all-hazards resilience of the electric grid against disruptive events; generate the greatest community benefit in reducing the likelihood and consequences. of disruptive events; advance US DOE's equity, environmental, and energy justice priorities, including the Justice40 initiative; and invest in Oregon's workforce. ODOE submitted an application for this funding to U.S. DOE on April 18, 2023 and expects to receive funding in the summer of 2023. OREGON DEPARTMENT OF ENERGY#14Workforce Development ODOE has heard from the energy industry and communities across the state that there is a need for energy auditors, contractors, and other energy professionals and tradespeople – especially in rural parts of the state. We are looking for opportunities to leverage existing workforce development programs in the state in support of these efforts. In or around the mid-2023, ODOE will be applying for a competitive grant under the IIJA to support energy auditor training. We also anticipate applying for funds under the IRA supported Contractor Training Grants to aid in HOMES & HEEHR implementation. Workforce development may also be included in other grants, like Solar for All, as a supportive activity. OREGON DEPARTMENT OF ENERGY#15Investing in Communities The IIJA included new funding for the Energy Efficiency and Conservation Block Grant (EECBG) Program, which provides grants to states, local governments, and Tribes to help them implement strategies to reduce fossil fuel emissions, reduce total energy use, and improve. energy efficiency. Some funds will go directly to tribes, larger cities and counties in the state and other funds. will come through ODOE to smaller cities and counties. ④ The application for tribes, states and local governments slated to receive a direct allocation is currently open and ODOE will apply for the state allocation of $1.9 million by July 31, 2023, but other entities may have different deadlines and amounts. OREGON DEPARTMENT OF ENERGY#16Greenhouse Gas Reduction The IRA includes $5 billion to plan and implement projects that reduce or avoid greenhouse gas emissions and other air pollution, under an opportunity known as the Climate Pollution Reduction Grants (CPRG). ODOE is working with DEQ and other state agencies to bring some of this funding to the state to support and build on Oregon's existing greenhouse gas reduction programs and policies. An additional $27 billion in funding will also be awarded through the IRA's Greenhouse Gas Reduction Fund (GGRF). Of this funding, $7 billion is set aside for a new competitive Solar for All program to support residential and community solar for low-income and disadvantaged communities. The application for the planning grant under the CPRG was submitted in April 2023. Applications for Solar for All are expected in Summer of 2023.#17Clean Hydrogen Economy Along with the Washington State Department of Commerce, ODOE is participating in the Pacific Northwest Hydrogen Association, a joint public-private partnership effort, in applying for funding from US DOE to host a hydrogen hub in the NW. The hub would leverage the PNW's clean electricity resources to create a clean hydrogen economy in the region. The PNWH2A submitted a concept paper to U.S. DOE in November 2022, and was one of 33 organizations (out of a total 79) to receive official "encouragement" from the US DOE and submitted a full application in April 2023. OREGON DEPARTMENT OF ENERGY#18Energy Efficiency & Electrification ODOE will bring $113 million to the state to help Oregonians make their homes and businesses more efficient, comfortable, and sustainable. The HOMES program will provide rebates for home energy retrofits and upgrades. The HEEHR program is targeted to Oregonians with low and moderate incomes and will provide rebates for electric and energy efficient appliances like electric heat pumps, electric stoves, heat pump water heaters, and supporting infrastructure. OREGON DEPARTMENT OF ENERGY ODOE will be submitting an application to U.S. DOE for this funding during the summer or fall of 2023 and expects to receive funds in late 2023 or early 2024. $ REBATES#19GOAL FOR ENERGY EFFICIENCY FUNDING: ACCESSIBILITY AND ALIGNMENT Draft Strategic Intentions Easy and accessible for consumers Reduce energy burden Leverage existing programs Improve quality of life. Improve Racial Justice Whole of government approach Reduce greenhouse gas emissions Responsive system • Efficiency and alignment Programs should be well-resourced Integrated eligibility 19 19#20Legislative Session: Relevant Bills HB 3166 Starts work on federal funding opportunities around home energy efficiency and creates "One Stop Shop" to help consumers find and understand both new and existing home energy efficiency rebates. SB 852 "Community Navigator" creates a new position at ODOE to help environmental justice communities seek out and apply for state and federal funding for energy projects. OREGON DEPARTMENT OF ENERGY#21HOW TO SHARE INFORMATION & CONNECT Recent Federal Investments in Energy and Climate OREGON'S ENERGY ELECTRICITY MIX IN OREGON HOW OREGON USES ENERGY ENERGY PLANNING ENERGY FACILITIES FIND YOUR UTILITY RENEWABLE ENERGY + + OREGON'S RENEWABLE RESOURCES Congress passed two major pieces of legislation related to investments in energy and climate, including the Infrastructure Investment and Jobs Act (IIJA) in 2021 and the Inflation Reduction Act (IRA) in 2022. RESOURCES Identified Programs by Agency What the IIJA & IRA Mean for Oregon PDF one-pager IIJA FAQS Program Information for Municipalities Program Information for Consumer- Owned Utilities IIJA Funding 101: 2022 Biennial Energy Report Heat Pump Programs FAQs Public Engagement Opportunities How ODOE is Working to Bring Federal Funding to Oregon OREGON UTILITIES ▶RECENT FEDERAL INVESTMENTS IN ENERGY AND CLIMATE + INNOVATION & EFFICIENCY 田田田 TRANSPORTATION SCHOOLS & PUBLIC BUILDINGS ENERGY & THE ENVIRONMENT The Infrastructure Investment and Jobs Act (IIJA) was introduced into Congress by Representative Peter DeFazio on June 4, 2021. Following months of negotiations, the bill passed with bipartisan support and was signed into law by President Joe Biden on November 15, 2021. The law authorizes $1.2 trillion in infrastructure spending across more than 380 federal programs. Of that, approximately $650 billion reauthorizes existing funding, and another $550 billion adds new funding to support the nation's infrastructure needs. The White House has developed a guidebook for IIJA funding. President Biden signed the Inflation Reduction Act (IRA) into law on August 16, 2022. The IRA funds investments related to health and medical programs as well as energy and climate programs using various tax measures and grants. The IRA provides approximately $369 billion in funding in support of energy and climate initiatives. The White House released a Guidebook for Clean Energy and Climate Programs in the Inflation Reduction Act. The guidebook contains a profile sheet on each funding opportunity under the IRA. You can view and download the IRA guide here. Not all of the energy and climate-related funding referenced above will flow through state energy offices like ODOE. There are numerous programs available to applicants from private businesses, institutions of higher education, community-based organizations, utilities, tribes, and local governments directly from federal agencies. Oregon Department of Energy staff are available to answer questions about this funding and encourages Oregonians to research and take advantage of opportunities that may support programs and projects in Oregon. FEDERAL LINKS PL 117-58 HR 5376 ✔U.S. DOE Energy Savings Hub - Federal Tax Credit Guide for Energy Efficient Products/Upgrades Federal IIJA Guidebook Federal IRA Guidebook IRS Energy Tax Credits FAQ Clean Energy For All - Info For Consumers Questions about federal funding? Submit them through our Q&A portal. Sign Up For Email Updates https://www.oregon.gov/energy/energy-oregon/Pages/IIJA.aspx#22Federal IIJA & IRA Funding Opportunity Tracker OREGON Last updated 6-6-2023 NAME OF PROGRAM DEPARTMENT OF ENERGY Advanced Energy Manufacturing and Recycling Grants Advanced Energy Security Program Advanced Solar Energy Manufacturing Initiative Advancing Equity Through Workforce Partnerships Assistance for Local Emergency Response Training (ALERT) Battery Manufacturing and Recycling Grants Battery Recycling Best Practices Building Codes Implementation for Efficiency and Resilience Building Resilient Infrastructure and Communities Building Training and Assessment Centers Bus and Bus Facilities Program Buses and Bus Facilities Competitive Grants Capital Investment Grants (Fixed Guideway) Carbon Capture Demonstration Projects Program Carbon Capture Large-Scale Pilot Programs Carbon Dioxide Transportation Infrastructure Finance and Innovation Program Carbon Reduction Program (FHWA) Carbon Storage Technology Operations & Research (CarbonSTORE) Carbon Storage Validation and Testing Carbon Utilization Program Career Skills Training Program Charging and Fueling Infrastructure Grants (Community Charging) - NEVI Competitive Charging and Fueling Infrastructure Grants (Corridor Charging) - NEVI Competitive Clean Hydrogen Electrolysis Program Clean Hydrogen Manufacturing Recycling Clean School Bus Program Commercial Direct Air Capture Technology Prize Competition Cybersecurity For The Energy Sector Research, Development, And Demonstration Program Electric Drive Vehicle Battery Recycling And 2nd Life Apps Electric or Low-Emitting Ferry Pilot Program Energy Auditor Training Grant Program Energy Efficiency and Conservation Block Grant Program Energy Efficiency and Conservation Block Grant Program Energy Efficiency Revolving Loan Fund Capitalization Grant Program Energy Improvements in Rural or Remote Areas Energy Sector Operational Support for Cyber Resilience Program Energy Storage Demonstration and Pilot Grant Program Enhanced Geothermal Systems Pilot Demonstrations | Department of Energy CATEGORY Clean Energy and Power Resilience Clean Energy and Power Clean Energy and Power Resilience Clean Energy and Power Other Clean Energy and Power Resilience Clean Energy and Power Public Transportation Public Transportation Public Transportation Clean Energy and Power Clean Energy and Power Clean Energy and Power Roads, bridges and major Clean Energy and Power Clean Energy and Power Clean Energy and Power Clean Energy and Power Electric Vehicles, Buses and Electric Vehicles, Buses and Clean Energy and Power Clean Energy and Power Electric Vehicles, Buses and Clean Energy and Power Resilience Electric Vehicles, Buses and Public Transportation Clean Energy and Power Clean Energy and Power Clean Energy and Power Clean Energy and Power Clean Energy and Power Resilience Clean Energy and Power Clean Energy and Power PROGRAM MILESTONES IIJA & IRA Tracker - Oregon Department of Energy March 14 2023 - Concept Paper; June 8, 2023 - Full Funding Opportunity expected 4th quarter of 2022 October 17, 2022 - Submission Deadline for Photovoltaics December 6, 2022 - Applications due May 5, 2023 Applications close for Assistance for Local FOA Open in November 2023 Report to Congress in November 2023 March 27, 2023 - Final application due; January 31, 2023 - January 27, 2023 - Applications due for FY2022 BRIC funding Concept Paper deadline June 16, 2023, Full Application April 2022, Full year FY22 apportionment tables released April 13, 2023 - Applications due TBD Letters of Intent due March 28, 2023 and full applications April 5, 2023 - Concept papers due; June 21, 2023 - January 17, 2023 - Comments closed in response to Request October 3, 2022 FY2023 Federal-Aid Highway Program January 09, 2023 - Request for Information responses due First round of awards announced ($251 million). Funding December 13, 2022 Notice of Intent released January 26, 2023 - Comments due for RFI response NOFO for $750 million announced. NOFO for $750 million announced, applications due June 13, April 19, 2023 - Concept Paper due; July 19 2023 - Application April 19, 2023 Concept Papers due for DOE's Clean Hydrogen FY 2023 funding opportunity applications due August 22, Funding Opportunity Announcement expected February 2023 Funding Opportunity Announcement expected February 2023 November 16, 2022 - Selections announced FOA ETA April 2023 January 26, 2023 - Comments due for RFI response June 05, 2023 - Concept Paper due; August 07, 2023 - Full April 28, 2023 - Pre-Award Information Sheet due; July 31, May 26, 2023 Applications due for Energy Efficiency April 14, 2023 - Concept Paper due; Pre-application due July Estimated opening date, Q1 2023. December 22, 2023 - Letter of Intent due. March 3, 2023 - March 08, 2023 - Letter of Intent due; June 16, 2023 - Full AMOUNT ($millions) FY 2022-2026 DESCRIPTION ELIGIBLE RECIPIENTS $750.0 Offers grants to small and medium- Manufacturing firm-subject to size $50.0 To increase the functional preservation Utilities, National Labs, Bulk Power $20.0 To award financial assistance to Federal, state, and local government, $10.0 Funds the development of workforce States, local governments, Tribes, $230.0 The Hazardous Materials and Emergency States, territories, tribes, counties, $3,000.0 To provide grants to ensure the US has a State and local governments, non $25.0 The Environmental Protection Agency $230.0 A competitive grant program to enable $1,000.0 Makes Federal funds available to $8 bn (an additional $15 billion is $10.0 To provide grants to institutions of $3,160.0 Provides capital funding to replace, $1,970.0 Provides capital funding to replace, Discretionary grant program funds $2,540.0 Establishes a carbon capture technology $940.0 To establish a carbon capture $2,100.0 To establish and carry out a carbon $6,400.0 Formula grants to States to reduce $0.0 To establish best approaches and $2,500.0 Establish a program of research, $310.0 To establish a grant program for State $100.0 Provides a grant to pay the federal share $1,250.0 Funds available each year for to install $1,250.0 To deploy electric vehicle charging and $1,000.0 To establish a research, development, $500.0 Provides federal assistance to advance $5,000.0 50% of funds are for zero-emission $100.0 Reauthorization of program to support $250.0 To support development and $200.0 For research, development, and $250.0 Supports transition of passenger ferries $40.0 To provide grants to eligible States to $10.0 To assist states, local governments and $430.0 To assist states, local governments and $250.0 To provide capitalization grants to $1,000.0 In consultation with the Department of $50.0 To support a program to build energy $360.0 To enter into agreements to carry out $80.0 To support a program of research, States and State Partnerships State/Local Institutions of Higher Education States, Tribal Governments (federally States, counties, cities/townships, States, local governments State and local governments Tribes, State and local governments Tribal State/Local/Public Authority States, D.C. Technology developers, industry, State/Local/ Public Utility non-Profit Partnerships States, territories, tribes, local States, territories, local governments, Nonprofit and for-profit private Nonprofit and for-profit private States, local governments, eligible Industry Partner Utilities, National Labs, States, local governments, Tribal States, territories, Tribal States Local Government/Tribes NOT State/Local Government/Tribes States Industry Partners and other For-profit Small Electric Utilities, National Labs State and local governments Tribal National Labs, Institutes of Higher https://www.oregon.gov/energy/energy-oregon/Pages/IIJA.aspx

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