Department of Energy Heat Pump Defense Production Act Program

Background
The Department of Energy (DOE) is issuing a Funding Opportunity Announcement (FOA) to accelerate the growth of domestic production capability of electric heat pumps to meet the anticipated increased demand for clean energy technologies as the economy transitions to net-zero emissions. The purpose of this program is to ensure national security by expanding United States electric heat pump manufacturing, strengthening heat pump system, components, and material supply chains, creating economic prosperity for communities, and supporting the creation of good-paying jobs. The program is funded in whole or in part with funds appropriated by the Inflation Reduction Act (IRA) of 2022.

Grant Details
The FOA is re-opened to solicit applications for new Topic Areas:

- Topic Area 3: Residential Heat Pump Production Capability
- Topic Area 4: Heat Pump Water Heater Production Capability
- Topic Area 5: All Other Heat Pump and Component Production Capability.

Applicants must submit a Concept Paper by the due date to be eligible to submit a Full Application. Applications must be submitted through Exchange at https://infrastructure-exchange.energy.gov/. The FOA seeks applications to expand domestic production capability of efficient electric heat pump systems, components, and materials in the United States. The FOA specifies requirements for workforce investment and outlines specific objectives for each Topic Area.

Eligibility Requirements
U.S. citizens and lawful permanent residents are eligible to apply as prime recipients or subrecipients. Domestic entities including institutions of higher education, for-profit entities, non-profit entities, state, territorial, local governmental entities, and tribal nations are eligible to participate. Foreign entities may apply under limited circumstances with explicit written waiver requests. Domestic incorporated consortia and unincorporated consortia are also eligible to participate. Cost sharing is required with a minimum of 50% of total project costs for demonstration or commercial application projects.

Period of Performance
Anticipated project durations are up to 48 months for each Topic Area. DOE will accept only new applications under this FOA and expects to make approximately $63 million available for new awards under Round 2.

Grant Value
$63 million federal funding available for new awards under Round 2 with individual awards anticipated to vary between $5 million and $50 million.