Infrastructure Investment and Jobs Act (IIJA) and other federal funding announcements

The Minnesota Department of Commerce is seeking to work with and facilitate connections with local and Tribal governments, utilities, businesses, communities and other entities interested in energy-related partnerships. The opportunities outlined below are offered through federal funding opportunities, including those funded by the Infrastructure Investments and Jobs Act (IIJA).?

Of Special Note:

• The U.S. Government has the following open feedback requests on various federal funding opportunities. Input is being sought on the following topics:?
  • Implementing the Inflation Reduction Act?s (IRA) Clean Energy Tax Incentives?
  • Domestic Solar Panel Production
  • Using the Defense Production Act to Strengthen?Grid?Reliability
  • Development of funding opportunity 40103c?Energy Improvement in Rural and Remote Areas
  • Development of funding opportunity 40432?Clean Energy Demonstration Program on Current and Former Mine Land

See OPEN IIJA & IRA REQUESTS FOR INFORMATION section below for details.

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Two multi-state Memorandums of Understanding (MOU) announced for Regional Hydrogen Hub development

The Governor of Minnesota has signed MOUs for Minnesota to participate in the development of two separate regional hydrogen infrastructure projects.? The Governor's Office announced on September 19 that Governor Walz and the?governors of Wisconsin, Illinois, Indiana, Kentucky, Michigan, and Ohio signed an MOU for development of the Midwest Hydrogen Coalition (M-H2 Coalition).? Walz announced on October 5 that he has signed an MOU with the governors of North Dakota, Montana and Wisconsin to develop the Heartland Hydrogen Hub.? Through the two initiatives, the states involved will work together on proposals for regional clean hydrogen hubs, with the goal of collaborating across state lines to create new hydrogen markets and obtaining federal funding.

These initiatives will leverage existing infrastructure and utilize partnership with commercial, university, research, and nonprofit organizations to fund and develop solutions for a robust market for clean hydrogen.?The Minnesota Department of Commerce State Energy Office will participate in the proposal development around both of these initiatives as funding for hydrogen investments is pursued.?Under the IIJA, $8 billion was appropriated to fund regional Clean Hydrogen Hubs, networks of clean hydrogen producers, consumers, and connective infrastructure. The Inflation Reduction Act (IRA) also supports hydrogen sector development by creating a tax credit for hydrogen production, which will make clean hydrogen competitive with fossil fuels.

Regional hydrogen hubs will help meet the nation?s clean energy, transportation, and agricultural needs. Benefits of developing clean hydrogen include:

• Expanding the clean energy economy in Minnesota and participating states
• Reducing long-term costs for consumers and businesses
• Creating good-paying jobs
• Reducing greenhouse gas emissions
• Promoting rural and urban economic development

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Recent and expected federal funding activity

The federal government issues a variety of announcements related to federal funding opportunities:? Requests for Information (RFI); Notices of Intent (NOI); and Funding Opportunity Announcements (FOA). More information can be found on the Commerce IIJA web page or by clicking the links below.

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--Open IIJA Notice of Intent (NOI):

• 40103b BIL - Front-End Engineering Design (FEED) Studies for Production of
  Critical Minerals and Materials (CMM) from Coal-Based Resources
  • DE-FOA-0002846

The Department of Energy (DOE) National Energy Technology Laboratory (NETL) intends to issue a?Funding Opportunity Announcement (FOA) on behalf of the Office of Fossil Energy and Carbon?Management (FECM). The FOA (DE-FOA-0002854) is anticipated to be issued early in the first quarter of calendar year 2023, and if issued, the funding opportunity will require a 20% cost share commitment and a 15-month Period of Performance.

This Notice of Intent (NOI) provides a high-level draft plan to support DOE?s current vision to secure?diverse, resilient, domestic CMM supply chains by expanding the Critical Minerals Sustainability Program. The Program expansion will fund additional front end engineering design (FEED) Association for the Advancement of Cost Engineering?(AACE) Class 3 cost estimate studies for the recovery and refining of CMM, with a primary focus on?production of high purity rare earth metals (REMs), or alternate forms, as required for critical supply chain?use.?

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--Open IIJA and IRA Requests for Information (RFI):

• Notices?for Open Public Comment on Implementing the Inflation Reduction Act?s (IRA) Clean Energy Tax Incentives?

Of the Inflation Reduction Act?s $369 billion investment in addressing climate change, $270 billion will be delivered through tax incentives. On October 5, 2022, the U.S. Department of Treasury (Treasury) and the U.S Internal Revenue Service (IRS)?issued a set of Notices requesting public comment on implementing key provisions. The Notices seek initial input from the public on specific questions, as well as requests for general comments. Responses will inform Treasury and the IRS? implementation of the IRA legislation. Treasury has conveyed that there will be additional public comment periods scheduled in the policy development process, to be advised at a later date.

Suggested Respond by Date: November 4, 2022 (Later comments will be accepted and considered as practicable.)

- Fact Sheet:?provides background on Treasury?s implementation process and describes the Notices requesting public comment, and?also provides a link to guidance issued in August of 2022 on Electric Vehicle tax credits.?

Each of the six Notices covers a particular topic and contains a description of the relevant provisions followed by specific questions, as well as a general request?for input. Responses can be submitted electronically or by mail with filing instructions in the Notices linked below.

- Notice 2022-46: Consumer Vehicles Credit:?Clean Vehicle Credit, Credit for Pre-Owned Clean Vehicles

- Notice 2022-47: Advanced Energy Project Credit: Advanced Manufacturing Production Tax Credit

- Notice 2022-48: Incentives for Home and Buildings:?Energy Efficient Home Improvement Credit, Residential Clean Energy Credit, New Energy Efficient Home Credit, Energy Efficient Commercial Building Deduction

- Notice 2022-49: Energy Generation Incentives:?Production Tax Credit, Investment Tax Credit, Zero-Emission Nuclear Credit, Clean Electricity Production Credit, Clean Electricity Investment Credit, Low Income Community Adder to Investment Tax Credit

- Notice 2022-50: Credit Monetization:?Direct Pay, Transfer of Certain Credits

- Notice 2022-51: Credit Enhancements:?Prevailing Wage, Apprenticeship, Domestic Content, Energy Communities provisions that increase the value of multiple credits

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• General Services Administration RFI regarding Domestic Solar Panel Production
  
  • Responses due: November 18, 2022
  • Federal Resister Notice of Request for Information.??

The U.S.?General Services Administration (GSA) issued a?Request for Information (RFI)?to learn more about the availability of domestically manufactured solar photovoltaic (PV) panels and components, and and feasibility of requiring the use of such PV panels and components for future projects. GSA seeks to better understand how it can encourage domestic manufacturing of PV panels through federal procurement as part of a comprehensive policy to support both decarbonizing the U.S. electric grid and securing a domestic clean energy supply chain.?

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• DOE RFI: Using the Defense Production Act to Strengthen?Grid?Reliability
  • Responses due: 4:00 pm CST, November 30, 2022
  • Request for information

The U.S. Department of Energy (DOE) issued a Request for Information (RFI)?to determine how the DOE could best leverage the Defense Production Act (DPA) authority to accelerate domestic production of key technologies, strengthen U.S. power grid reliability, and deploy clean energy.??

DOE is interested in gathering public input on how to use the DPA to address in parallel:

- Technology supply chain challenges and opportunities

- Domestic manufacturing, including small and medium-sized scale

- American workforce investment

- Energy equity, community access, and economic benefit

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• DOE Virtual workshop to gather information and structure funding opportunity - 40103c

Stakeholders are invited to participate in an?Energy Improvements in Rural or Remote Areas (ERA)?workshop. The U.S. Department of Energy?s (DOE) Office of Clean Energy Demonstrations (OCED) has planned three workshops to inform the ERA program in preparation for a future funding opportunity announcement.

- November 1-2, 2022. Virtual workshop

- October 26-27, Little Rock AR (in person)

The 2021 Bipartisan Infrastructure Law allocated $1 billion to improve energy systems in rural or remote areas of the country with fewer than 10,000 people.?As part of the development of the ERA program, this workshop is an opportunity for local governments, utilities, private sector project developers, and others in rural and remote communities to share more about their energy challenges and the types of projects that can improve their energy systems.?DOE is interested in hearing from stakeholders about how demonstration projects will improve the resilience, safety, reliability, availability, and environmental performance of rural and remote energy systems throughout the country.

These workshops will:

- Provide a detailed overview of the ERA program to interested stakeholders

- Collect feedback from stakeholders on drivers, challenges, and potential impacts of demonstrations

- Offer a forum for stakeholder networking in preparation for the funding opportunity announcement

- The subsequent NOI for 40103c is expected to follow in 1Q23, with the FOA released in 3Q23.

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• DOE Virtual workshop to gather information and structure funding opportunity - 40432

Stakeholders are invited to participate in an?Clean Energy on Mine land?workshop. This workshop, hosted by the U.S. Department of Energy?s (DOE) Office of Clean Energy Demonstrations (OCED) , is to inform the?Clean Energy Demonstration Program on Current and Former Mine Land in preparation for a future funding opportunity announcement.

-?October 25-26, 2022. Virtual workshop (10-5 CDT)? ?Register by October 23rd by clicking on the link on seminar dates.

This workshop will:

- Provide a detailed overview of the Clean Energy Demonstration Program on Current and Former Mine Land to interested stakeholders

- Collect feedback from stakeholders on drivers, challenges and potential impacts of mine land demonstrations

- Offer a forum for stakeholder networking in preparation for the funding opportunity announcement.

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--Non-IIJA Funding Opportunity Announcements

• Consent-Based Siting for Interim Storage Program - Community Engagement Opportunities?
  • Letter of Intent Due Date (not required): October 20, 2022
  • Full Application?Due Date: December 19, 2022, 7:00 pm CST.
  • DE-FOA-0002575;?CFDA Number: 81.121

DOE is planning to provide resources to?communities within the continental United States interested in learning more about consent-based siting, nuclear waste management, interim storage, and siting considerations to foster the?development of innovative community ideas and feedback related to the interim management of spent nuclear fuel (SNF) and high-level waste (HLW).?

DOE is planning to competitively award one financial assistance?agreement each to approximately six to eight awardees to represent a?consent-based siting consortia. Each awardee will support community engagement, inclusively?involve stakeholders, build relationships, and develop innovative forms of mutual learning and?public capacity to participate in the consent-based siting process for a consolidated interim storage facilities (CISF).? Awardees will serve as an entity that will host collaboration hubs that support engagement and?dialogue activities.

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• Clean Hydrogen Production, Storage, Transport, and Utilization to Enable a Net-Zero Carbon Economy
  • EXTENSION to Application Due Date: November 8, 2022, 10:59:59 CST.
  • DE-FOA-0002400 Modification 9; CDFA Number: 81.089

DOE?s Office of Fossil Energy and Carbon Management (FECM) is amending a previously released FOA to extend the deadline date.? Changes added in Modification 8 are still highlighted in Modification 9. The FOA is to support the development of technologies enabling clean hydrogen production, transport, storage, and use in the energy sector, including electricity, heat, transportation, and industrial use.

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--Non-IIJA Notices of Intent (NOI)

• FY22 Advanced Materials and Manufacturing Technologies?Building Technologies Office Multi-topic Funding Opportunity
  • DE-FOA-0002865

The Office of Energy Efficiency and Renewable Energy (EERE) intends to issue, on behalf of the new Advanced Materials and Manufacturing Office Technologies Office (AMMTO) and the Building Technologies Office (BTO), a Funding Opportunity Announcement (FOA) entitled ?FY22 Advanced Materials and Manufacturing Technologies?Building Technologies Office Multi-topic Funding Opportunity Announcement. DE-FOA-0002864"

This FOA supports the enhancement of manufacturing?competitiveness through technological innovation by focusing in three main areas: 1) Next?Generation Materials and Manufacturing, 2) Secure and Sustainable Materials, and 3) Energy?Technology Manufacturing and Workforce Development. The FOA integrates identified?research opportunities across AMMTO and BTO into a single funding opportunity and is?intended to fund high-impact, applied research, technology development, and pilot?demonstration projects.

Within those three focus areas, the FOA is expected to focus on the following topics:

1) Next Generation Materials and Manufacturing:???Increased Conductivity Metals; Harsh Environment Materials; AI/Machine Learning for Aerostructures

2)?Secure and Sustainable Materials:?Materials Circularity Regional Pilot Demonstrations

3)?Energy Technology Manufacturing and Workforce Development:?Electric Vehicle Battery Manufacturing: cathode active materials (CAMs);? Building Dehumidification Scaleup.

EERE plans to issue the FOA mid-November 2022 via the EERE Exchange website
https://eere-exchange.energy.gov/. If Applicants wish to receive official notifications and
information from EERE regarding this FOA, they should register in EERE Exchange.?

Resources

• New DOE report:??Cybersecurity Considerations for Distributed Energy Resources on the U.S. Electric Grid.

On October 6, 2022, the U.S. Department of Energy (DOE) Office of Energy Efficiency and Renewable Energy (EERE) and the Office of Cybersecurity, Energy Security, and Emergency Response (CESER) released a long-term evaluation of the cybersecurity considerations associated with distributed energy resources (DER), such as distributed solar, storage, and other clean energy technologies, and the potential risks to the electric grid over the next ten years. The report presents strategies that DER operators and electric power entities could undertake to make the grid more secure, as well as policy recommendations for decision makers.

As outlined in the report, DOE intends to fund research on next-generation DER defenses, including security-by-design and the recently released?Cyber-Informed Engineering Strategy, to ensure security in a decarbonized grid.

For more information, see the DOE web page.

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Ask us! The MN Commerce Department is your partner for IIJA? energy-specific funding opportunities

Interested in partnering with the Department of Commerce around funding opportunities? Have questions? Send an email, detailing the program, your organization and contact information to IIJA Initiatives Project Manager, Kellye Rose:?[email protected].

Sign up for future email updates from the Department of Commerce.?