How Pennsylvania’s Industrial Sector Can Benefit from RISE PA

Pennsylvania’s industrial sector is at the center of a new opportunity to secure funding, modernize operations, and drive meaningful greenhouse gas (GHG) reductions. The Reducing Industrial Sector Emissions in Pennsylvania (RISE PA) program, launched in early 2025, is designed to accelerate industrial decarbonization across the state – a sector responsible for about 30% of statewide GHG emissions.

What is RISE PA?

The RISE PA program is designed to accelerate decarbonization across Pennsylvania’s most energy- and emissions-intensive industries. The program provides financial support for projects that reduce emissions while advancing operational improvements and technological innovation. Major goals of the program include the creation of high-quality jobs within the energy sector and the improvement of air quality across the state, with increased focus on low-income areas. The initiative is funded through both federal and state resources, in part through the U.S. Environmental Protection Agency’s (U.S. EPA) Climate Reduction Grants under the Inflation Reduction Act of 2022. This is still in effect with the current federal funding changes.

For companies operating in manufacturing, materials production, and heavy industry, RISE PA brings both new opportunities and new expectations. Pennsylvania’s Department of Environmental Protection (DEP) is now accepting applications for both medium and large-scale award tracks, with applications due in August 2025.

Who is Eligible for RISE PA Funding?

The RISE PA program focuses on funding projects that achieve direct, verifiable reductions in industrial emissions, including both greenhouse gases and criteria pollutants such as nitrogen oxides and particulate matter. There are three different pools of funding depending on the size of the project, which are Small Scale, Medium-Scale, and Large-Scale award tracks. Eligible applicants include owners or operators of industrial facilities that produce process emissions, such as cement, steel, aluminum, chemical, and semiconductor manufacturing. Eligibility also extends to owners or operators of active or abandoned coal mines, coal processing operations, and natural gas or oil production, transmission, and distribution systems.

Under the program guidelines, an owner of an industrial facility will qualify under the following North American Industry Classification System (NAICS) codes qualify for the Medium- and Large-Scale award tracks:

• NAICS code 11: Agriculture, forestry, fishing, and hunting
• NAICS code 21: Mining, including oil, power generation, and gas extraction
• NAICS code 23: Construction
• NAICS codes 31-33: Manufacturing

The following GHG reduction projects are eligible for the RISE PA Program:

• Electrification technologies (electric heat pumps or zero carbon process heating)
• Industrial process emissions technologies and waste reduction technologies
• Energy efficiency technologies (combined heat and power systems, waste heat recovery, smart energy management systems, etc.)
• Fugitive emissions reduction technologies such as regenerative thermal oxidizers and air ventilation
• Fuel switching technologies
• On-site renewable energy technologies
• Carbon capture, utilization, and storage (CCUS)
• Other technologies that reduce GHG emissions, as determined by RISE PA

In addition, Energy-as-a-Service companies, Sustainability-as-a-Service companies, landlords of industrial facilities, and other service providers may also be eligible, provided the project is conducted at a qualifying industrial facility and all application requirements are met. The program is particularly interested in high-impact projects that demonstrate scalability, replicability, or technological innovation.

What Funding is Available Through RISE PA?

Grant awards are expected to range from $25,000 to $5 million per project, depending on the size, scope, and potential impact of the proposed activities. There is no fixed limit on the number of RISE PA grants awarded; instead, the total awarded depends on available funding and the quality of applications received. RISE PA is a reimbursement grant program, which means the grantee will pay upfront and then provide costs to the state to invoice for reimbursement from RISE PA. The grant awards are summarized in Table 1 below. In most cases, applicants will be required to provide a cost-share contribution, meaning that the company must invest its own resources alongside the grant funding. The specific matching requirement may vary based on the project category, but demonstrating a financial commitment will strengthen an application’s competitiveness.

Projects must be able to begin shortly after receiving the award notification and should show clear progress toward emissions reductions within a two-to-three-year implementation period. The project must also be completed before April 2029. This requirement emphasizes the program’s focus on immediate action and achievable near-term results, rather than projects that remain in planning stages for extended periods. Companies seeking to participate will need to prepare a well-defined scope of work, a detailed budget, and credible emissions reduction projections that align with RISE PA’s goals.

What is the Application Process?

Applying for RISE PA is a multi-stage process that requires careful planning and preparation. Companies should start by identifying eligible emissions-reduction opportunities within their operations. Once a potential project is identified, they need to conduct a baseline emissions assessment to quantify current emissions and establish a point of comparison for the proposed reductions.

After completing the baseline assessment, companies must use their findings to develop a technical proposal. This proposal should detail the project design, the technologies or strategies to be implemented, the expected emissions reductions, and the overall benefits of the project. It should include both a technical narrative and a financial proposal component. The financial proposal must outline the total project costs, the requested grant amount, any necessary cost-sharing sources and amounts, and a clear project timeline. Additionally, it must describe how the project will be managed to ensure timely and successful execution.

Applications will be evaluated based on several key criteria, including projected emissions reductions, cost-effectiveness, technical merit, innovation potential, scalability, and the applicant’s readiness to execute the project execution promptly. All applications must be submitted by August 29, 2025, and companies are encouraged to start their preparations immediately to meet this deadline.

Why Should Companies Act Now?

The opportunity to secure RISE PA funding is significant, but the timeline is tight. Companies interested in applying must act quickly to define their projects, assess their current status, develop strong proposals, and coordinate internally to meet the August 2025 submittal deadline. Delaying action could result in missed funding opportunities or rushed applications that are less competitive.

In addition to the immediate funding benefits, participating in RISE PA offers long-term advantages. Successful projects can lower operating costs, enhance energy security, improve environmental, social, and governance (ESG) profiles, and strengthen compliance readiness in anticipation of future regulatory changes. Companies that take action now will lead the way in shaping a lower-carbon industrial future for Pennsylvania.

Helping Companies Succeed with RISE PA

At ALL4, we assist companies in maximizing the new RISE PA funding opportunity. Our team collaborates closely with our clients to identify eligible projects, calculate baseline emissions, prepare strong applications, and assure the project is set up for success. Whether you’re already planning decarbonization efforts or just starting, we will guide you through the entire process, helping to secure funding and make meaningful progress towards your sustainability goals.

If you’re interested in discovering how ALL4 can support your RISE PA application and overall decarbonization strategy, please contact Cambre Codington at ccodington@all4inc.com.