Distributed Energy Resources, Energy Storage - May 11, 2022
DOE Provides $3B For Battery Manufacturing
The U.S. Department of Energy (DOE) announced $3.1 billion in funding from President Biden’s Bipartisan Infrastructure Law to make more batteries and components in America.
The infrastructure investments will support the creation of new, retrofitted, and expanded commercial facilities as well as manufacturing demonstrations and battery recycling. DOE is also announcing a separate $60 million to support second-life applications for batteries once used to power EVs, as well as new processes for recycling materials back into the battery supply chain.
“Positioning the United States front and center in meeting the growing demand for advanced batteries is how we boost our competitiveness and electrify our transportation system,” said U.S. Secretary of Energy Jennifer M. Granholm in a statement. “President Biden’s historic investment in battery production and recycling will give our domestic supply chain the jolt it needs to become more secure and less reliant on other nations—strengthening our clean energy economy, creating good paying jobs, and decarbonizing the transportation sector.”
The DOE is working with industry to prepare the United States for increased market demand. As of the end of March 2022, more than 2.5 million plug-in electric vehicles have been sold in America, with more than 800,000 of those having been sold since President Biden took office. Battery costs have fallen more than 90% and since 2008, and energy density and performance have increased rapidly, paving the way for an accelerated transition to zero-emission vehicles.
The “Battery Materials Processing and Battery Manufacturing” and “Electric Drive Vehicle Battery Recycling and Second Life Applications” funding opportunities are aligned with the National Blueprint for Lithium Batteries, authored by the Federal Consortium for Advanced Batteries, and led by DOE and the Departments of Defense, Commerce, and State. The blueprint details a path to bolstering the domestic battery supply by equitably creating a robust and diverse battery workforce by 2030.