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Pennsylvania to Provide $31.4 Million in Development Grants for Alternative Fuels and Energy

Pennsylvania Governor Ed Rendell announced the availability of $31.4 million in grants to help businesses and organizations develop clean energy and alternative fuel projects.

The grants will be funded through Pennsylvania’s three alternative energy development programs—up to $16.4 million through the Alternative Fuels Incentive Grants program, $10 million through the Pennsylvania Energy Development Authority and $5 million in Energy Harvest grants.

The three alternative energy programs are accepting grant applications now. The deadline for receipt of applications for all three programs is June 15. The available energy-development grants are:

Alternative Fuels Incentive Grants (AFIG). $16.4 million is available through this program to finance the production and use of clean-burning alternative fuels in Pennsylvania.

AFIG funding awarded over the past two years will result in the use of 1.5 million gallons of B20 (20 percent biodiesel and 80 percent diesel) and the production of 33 million gallons of biodiesel through 2008.

Grant funds awarded through AFIG can cover the added cost to purchase E85 ethanol-blended fuels or biodiesel and to install related refueling equipment. Pennsylvania producers of ethanol or biodiesel are eligible for a reimbursement of 5 cents a gallon for up to 12.5 million gallons covering a 12-month period.

Pennsylvania has awarded almost $32 million through AFIG since its inception in 1992 for 1,000 projects in almost every county in the commonwealth. AFIG funds have leveraged more than $118 million from public and private fleet operators, fuel providers and the federal government.

Pennsylvania Energy Development Authority (PEDA). $10 million is available from PEDA, which so far  has directed $21 million in grants and loans for 57 clean energy projects that are leveraging another $240 million in private investment.

Applicants for PEDA financing can seek grant assistance for capital costs for a variety of innovative, advanced energy projects. Eligible PEDA projects may include solar energy; wind; low-impact hydropower; geothermal; biologically derived methane gas, including landfill gas; biomass; fuel cells; coal-mine methane; waste coal; integrated gasification combined cycle; demand management measures, including recycled energy and energy recovery, energy efficiency and load management; and clean, alternative fuels for transportation. PEDA particularly encourages applicants with projects related to distributed generation for critical public infrastructure to apply.

PEDA financing is available to organizations operating in Pennsylvania and to those businesses interested in locating their advanced energy operations in Pennsylvania.

Energy Harvest. Up to $5 million in grants is available in this fifth round of funding under the Pennsylvania Energy Harvest Grant program. Since May 2003, Energy Harvest has awarded $21 million and leveraged another $51.9 million in private funds.

Grants fund projects that promote awareness and build markets for cleaner or renewable energy technologies. Energy Harvest grants will fund innovative energy deployment projects that emphasize protecting Pennsylvania’s air or water quality while supporting economic development and enhancing the quality of life in the commonwealth. Eligible proposals include: renewable energy deployment, including biomass energy; waste coal reclamation for energy; deployment of innovative energy efficiency technologies; and distributed generation projects.



Great news.

Every bit helps.

imran khan

i am emeditly join tourcompany

yhank your prouder


The states are taking the lead because the present federal administration can not seem to get the ball rolling.

Narsi V

So provide funding for the companies to bring in technology - nice recepie for failure.

If the government is really serious, it should give them as tax breaks to the residents. That way, the common man will be given a motivation to adopt these alternative energy means. This is yet another tax loop thanks to Mr. Rendell's policies.

Hoping that a technology will come in and provide leadership is hogwash. There are already a million means for alternative energy. For e.g. give residential Geothermal or solar roof adoption a tax grant and see it bring in sales tax revenues.

This form of 'nuturing' technology will never work because the moment it becomes viable, the manufacturing base, any associated jobs and related tax benefits will be exported to China.

Shaeeda Baker

A grant for a car will really help my family. I'am a mother of three and withchild that is do next month the grant will really help my family.

Cheryl Ho

there are DMe developments in China today!

We see great potential for DME as a clean alternative fuel . The present diesel oil is a major source of air pollution from diesel engine of trucks and busses in large city like Tokyo. The potential market of diesel oil substitute is larger than LPG. DME is one of ideal fuel for diesel engine. DME vehicles were demonstratively manufactured in Japan, China and Korea and their driving test already started. Practical durability fleet test of a DME truck is under going in Japan.

We are pleased to organise a conference on China taking the lead in the DME market in production from coal and Japan and Korea activities.

If you would like to know more on COAL to Syngas to DME developments, join us at upcoming North Asia DME / Methanol conference in Beijing, 27-28 June 2007, St Regis Hotel. The conference covers key areas which include:

DME productivity can be much higher especially if
country energy policies makes an effort comparable to
that invested in increasing supply.
National Development Reform Commission NDRC
Ministry of Energy for Mongolia

Production of DME/ Methanol through biomass
gasification could potentially be commercialized
Shandong University completed Pilot plant in Jinan and
will be sharing their experience.

Advances in conversion technologies are readily
available and offer exciting potential of DME as a
chemical feedstock
By: Kogas, Lurgi and Haldor Topsoe

Available project finance supports the investments
that DME/ Methanol can play a large energy supply role
By: International Finance Corporation

For more information:

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