Manufacturing Clean Energy and Energy Efficiency Act of 2021

To require the Secretary of Energy to establish a manufacturing clean energy and energy efficiency grant program, and for other purposes. 1. Short title This Act may be cited as the Manufacturing Clean Energy and Energy Efficiency Act of 2021 2. Manufacturing Clean Energy and Energy Efficiency Grant Program (a) Definitions In this section: (1) Covered project The term covered project (A) has been recommended in an energy assessment described in paragraph (2)(A) conducted for an eligible entity; and (B) with respect to the plant site of that eligible entity— (i) improves— (I) energy efficiency; (II) material efficiency; (III) cybersecurity; or (IV) productivity; or (ii) reduces— (I) waste production; (II) greenhouse gas emissions; or (III) nongreenhouse gas pollution. (2) Eligible entity The term eligible entity (A) by— (i) an Industrial Assessment Center; or (ii) a third party assessor that provides an assessment equivalent to that of an Industrial Assessment Center, as determined by the Secretary; and (B) in the 5-year period preceding the date on which the small- or medium-sized manufacturer submits an application under subsection (c). (3) Industrial assessment center The term Industrial Assessment Center (A) receives funding from the Department of Energy; (B) provides an in-depth assessment of small- or medium-sized manufacturers to evaluate the facilities, services, and manufacturing operations of the plant sites of those manufacturers; and (C) as a result of the assessment described in subparagraph (B), identifies opportunities for potential savings from, with respect to those plant sites— (i) energy efficiency improvements; (ii) waste minimization; (iii) pollution prevention; (iv) cybersecurity improvements; and (v) productivity improvement. (4) Institution of higher education The term institution of higher education 20 U.S.C. 1001(a) (5) Program The term program (6) Small- or medium-sized manufacturer The term small- or medium-sized manufacturer (A) the gross annual sales of which are less than $100,000,000; (B) that has fewer than 500 employees at the plant site of the manufacturing firm; and (C) the annual energy bills of which total more than $100,000 but less than $2,500,000. (b) Establishment The Secretary shall establish a program within the Office of Energy Efficiency and Renewable Energy under which the Secretary shall provide grants to eligible entities to implement covered projects. (c) Application An eligible entity seeking a grant under the program shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including a demonstration of need for financial assistance to implement the proposed covered project. (d) Priority In awarding grants under the program, the Secretary shall give priority to eligible entities that— (1) have had an energy assessment completed by an Industrial Assessment Center; and (2) propose to carry out a covered project with a greater potential for— (A) energy efficiency gains; or (B) greenhouse gas emissions reductions. (e) Grant Amount (1) Maximum amount The amount of a grant provided to an eligible entity under the program shall not exceed $300,000. (2) Federal share A grant awarded under the program for a covered project shall be in an amount that is not more than 50 percent of the cost of the covered project. (3) Supplement A grant received by an eligible entity under the program shall supplement, not supplant, any private or State funds available to the eligible entity to carry out the covered project. (f) Authorization of appropriations There is authorized to be appropriated to the Secretary to carry out this section $100,000,000 for each of fiscal years 2022 through 2026, to remain available until expended. 3. Industrial assessment center technical assistance Section 452 of the Energy Independence and Security Act of 2007 ( 42 U.S.C. 17111 (1) in subsection (a), by adding at the end the following: (6) Small- or medium-sized manufacturer The term small- or medium-sized manufacturer (A) the gross annual sales of which are less than $100,000,000; (B) that has fewer than 500 employees at the plant site of the manufacturing firm; and (C) the annual energy bills of which total more than $100,000 but less than $2,500,000. ; and (2) in subsection (e)— (A) in paragraph (4), by striking and (B) in paragraph (5), by striking the period at the end and inserting ; and (C) by adding at the end the following: (6) to provide technical assistance to small- and medium-sized manufacturers, for which the industrial research and assessment center has completed an energy assessment, to upgrade, retrofit, or replace systems or infrastructure consistent with recommendations made in the energy assessment. .

Summary: Manufacturing Clean Energy and Energy Efficiency Act of 2021 This bill requires the Department of Energy (DOE) to establish a program within the Office of Energy Efficiency and Renewable Energy that provides grants to small- or medium-sized manufacturers for projects that will (1) improve their energy efficiency, material efficiency, cybersecurity, or productivity; or (2) reduce their waste production, greenhouse gas emissions, or nongreenhouse gas pollution. In order to be eligible for grants, manufacturers must have completed energy assessments from Industrial Assessment Centers funded by DOE or third-party assessors that provide equivalent assessments. Only projects that have been recommended in energy assessments are eligible for grants. The bill also authorizes Industrial Assessment Centers to provide technical assistance to small- and medium-sized manufacturers that have completed energy assessments to upgrade, retrofit, or replace systems or infrastructure.