Industry Assails Fed Funding for Heat Pumps

The Biden Administration has invoked the 1950 Defense Production Act (DPA) to expedite funding toward increasing the domestic production of heat pumps. The Administration cited the use of these wartime powers in order to meet the emergency crisis confronting the nation due to climate change. The release of $169 million will be directed to nine projects to accelerate electric heat pump manufacturing at 15 sites across the country.

“NEFI and other energy related organizations are looking into the legality of using the DPA in this manner, as well as the administration’s broader attack on consumer choice,” the New York State Energy Coalition said in its member newsletter, NYSEC Voice. “There is a strong possibility that this use of the DPA may be litigated.”

“This is yet another example of the administration promoting one energy source over another, and, once again, ignoring the immediate contributions that renewable liquid heating fuels offer to the mission to reduce carbon emissions. The Defense Production Act should be used, as written, to protect the country from external threats. Our fuels are not an external threat, but rather a valuable portion of the solution. It is ironic that the administration’s push to electrified heat will only increase GHG emissions,” said NEFI President Sean Cota.