Shapiro Administration Invests $267M to Cut Pollution, Create Jobs | Commonwealth of Pennsylvania

Johnstown, PA - Today, Governor Josh Shapiro and Pennsylvania Department of Environmental Protection (DEP) Secretary Jessica Shirley visited Gautier Steel Holdings with local officials, organized labor, and environmental protection leaders to announce a more than $267 million investment in 31 manufacturing projects across Pennsylvania to reduce greenhouse gas (GHG) emissions, lower energy costs, and strengthen the Commonwealth's industrial sector.

These projects will save Pennsylvania businesses more than $3.1 million in annual energy costs and reduce more than 1.3 million metric tons of carbon dioxide equivalent within their first year of implementation - the equivalent of removing 320,614 cars from the road for one year, eliminating emissions from 154,666,592 gallons of gasoline, or recycling 116,843,239 trash bags instead of landfilling them.

"As energy costs continue to rise as a result of economic chaos across the country and around the world, my Administration is helping Pennsylvania businesses lower their energy bills, create jobs, and reduce harmful air pollution," said Governor Shapiro. "Across the Commonwealth, I've heard from business owners who have told me that lowering emissions strengthens their operations, supports their workers and communities, and helps their bottom line - and my Administration is delivering hundreds of millions of dollars to support their efforts to invest in their operations. With these new RISE PA grants, businesses will be able to operate more efficiently, create more clean energy jobs, and strengthen our economy."

This funding is awarded as part of the Medium-scale Award Track (MAT) and Large-scale Award Track (LAT) of the Reducing Industrial Sector Emissions in Pennsylvania (RISE PA) program.

In July 2024, the Governor announced his Administration had secured $396 million - the second largest federal grant in Pennsylvania's history - for RISE PA projects to help Pennsylvania companies lower emissions while creating good-paying jobs and supporting the Commonwealth's economy.

"RISE PA helps manufacturers and industry save money and grow their businesses in the Commonwealth, while doing it in a responsible, innovative, environmentally friendly way that reduces air pollution for communities across Pennsylvania," said DEP Secretary Jessica Shirley. "These projects will result in substantial greenhouse gas emissions reductions while positioning Pennsylvania as a national climate leader and increasing our manufacturing competitiveness."

Today's announcement was held at Gautier Steel Holdings, an employee-owned steel manufacturer founded in Johnstown in 1852 that operates a bar mill, producing hot rolled carbon, and alloy flats and squares. The manufacturer also operates a plate mill producing plate products including tool steel and stainless steel.

Gautier was awarded $1,886,529 in MAT grant funding through RISE PA and will use these funds to upgrade the steel plant's furnace and increase the plant's energy efficiency. The plant's upgrades will reduce 7,800 metric tons of carbon dioxide equivalents in its first year alone.

"This project will drive a vital investment in innovative technology that will modernize the reheat furnace that is at the forefront of our 14 inch bar mills production line while significantly reducing the carbon emissions generated by our facility," said Dale Gray, President & CEO of Gautier Steel Holdings Inc.

Currently, Gautier employs 100 people, including 75 steelworkers - members of United Steelworkers Local 2632 - and 25 administrative staff.

"Governor Shapiro, thank you for your leadership and your relentless commitment to getting things done for Pennsylvania, and to Gautier Steel for having us here today - including CEO Dale Gray and COO Ken Smith for the strong, ongoing relationship you've built with the workforce and our union. That kind of partnership matters," said Bernie Hall, District 10 Director, United Steel Workers. "The Governor has been clear from the start - this is about growing jobs, lowering costs, and making Pennsylvania a leader again in manufacturing."

"Here in Johnstown, manufacturing isn't just part of our history, it's a part of our future, and companies like Gautier Steel have been investing in this community for generations, supporting good paying jobs and helping to drive our local economy forward. That's why today's investment through the RISE PA program is so important," said Johnstown Mayor Reverend Sylvia King. "This funding is exactly the kind of approach we need - growing our economy while being responsible stewards of the environment. I want to thank Governor Shapiro and his team for recognizing the importance of communities like Johnstown."

The RISE PA grant program is a $396 million statewide industrial decarbonization initiative funded through the U.S. Environmental Protection Agency's (EPA) Climate Pollution Reduction Grants. It offers funding to industrial facilities for small-, medium-, and large-scale projects that demonstrate investment in a variety of energy-efficient upgrades. The Small-scale Award Track's (SAT) first round of awards was announced April 1, 2026, with additional funding rounds planned through 2028.

"RISE PA puts Pennsylvania at the forefront of industrial innovation, offering a national model for how emissions reductions can support economic competitiveness and deliver benefits for communities," said John Walliser, Senior VP of Legal & Government Affairs, Pennsylvania Environmental Council. "Our state is known the world over for its industrial heritage, and today we have reason to be even prouder about our stronger and cleaner industrial future."

Eligible projects reduce emissions caused by burning fuels, leaks from industrial equipment, or chemical reactions associated with industrial processes. The industrial sector is the highest-emitting sector statewide, accounting for more than 30 percent of Pennsylvania's total annual greenhouse gas (GHG) emissions. Projects may reduce emissions through electrification, efficiency improvements, low-carbon fuel switching, on-site renewable energy, carbon capture and storage technologies, and reducing fugitive emissions from natural gas, oil, and coal systems.

"American steel is the best in the world and it's made here in Cambria County by the hardest-working union steelworkers anywhere," said Representative Frank Burns, PA's 72nd House District. "As someone that has championed American Made steel initiatives, I was proud to support Governor Shapiro and the Trump administration to bring this grant funding home to make sure our steel mills are on the cutting edge of technology so we can create jobs, support local manufacturing like Gautier Steel, and grow our economy."

From day one, Governor Shapiro has been committed to protecting a healthy environment for every Pennsylvanian while working to lower energy costs for families and businesses. The Shapiro Administration has consistently fought for energy affordability, including in Governor Shapiro's 2026-27 budget address, where he called for continued efforts to lower costs for families, ensure fair utility practices, and protect ratepayers from unnecessary price increases.

Through the Lightning Plan and the PA Permit Fast Track Program, the Governor is cutting permitting delays, accelerating responsible energy development, and positioning Pennsylvania - the nation's second-largest energy producer and exporter - to build more power faster while keeping costs down. Independent analyses confirm these efforts will save consumers money, create jobs, and attract billions in new energy investment.

The Shapiro Administration is also making historic investments in environmental protection and infrastructure. It has invested more than $3.5 billion in clean water projects through the Pennsylvania Infrastructure Investment Authority (PENNVEST), including replacing more than 30,000 lead service lines and upgrading wastewater treatment systems across the Commonwealth. An additional $100 million in state funding has been allocated to clean up waterways statewide, alongside more than $244 million in annual federal funding to reclaim abandoned mine lands and protect Pennsylvania communities.

The Shapiro Administration has also secured significant funding to address legacy environmental challenges, drawing down more than $175 million in federal funding to plug over 350 orphaned and abandoned oil and gas wells - more than were plugged in the previous ten years combined - and secured more than $29 million in state funding to continue this critical work and reduce methane emissions that contribute to climate change.

Today's announcement totals $267,825,172 in funding and leaves $52 million for the next round of MAT and LAT grants. These applications will open on May 15, 2026. For more information, please visit the DEP website: Reducing Industrial Sector Emissions in Pennsylvania

The following businesses have been awarded RISE PA LAT grants:

Montgomery County

PECO Energy Company, $52,479,494: Replace a combustion turbine with an electrified compressor turbine at the natural gas transmission and distribution facility.

Merck Sharp & Dohme LLC, $31,270,000: Install a geothermal heating and cooling system and an electrified chiller at the pharmaceutical manufacturing facility.

Lancaster County

Alouette Cheese USA, LLC, $44,989,040: Implement energy efficiency measures, install an anaerobic digester and wastewater treatment plant, implement truck refrigeration unit electrification, and fuel switching at the food manufacturing facility.

The following businesses have been awarded RISE PA MAT grants:

Adams County

G&S Foods LLC, $3,439,442: Install a 4.07 MW solar system with 1.93 MW of battery storage at its food manufacturing facility.

Allegheny County

Eurovia Atlantic Coast LLC, $2,371,030: Install a 0.44 MW solar system with 0.2 MW of battery storage, HVAC replacement, and equipment electrification at the Northeast Paving asphalt plant.

Blair County

NPC, Inc., $1,915,960: Install a 1.9 MW solar system, replace the facility's HVAC and implement energy efficiency retrofits throughout the paper print manufacturing facility.

Bradford County

Global Tungsten & Powders LLC, $4,654,880: Install a Mechanical Vapor Recompression Crystallizer that will increase the energy efficiency of the Tungsten manufacturing facility.

Cambria County

Quaker Sales Corporation, $5,253,383: Replace its asphalt plant equipment for increased energy efficiency.

Gautier Steel Holdings Inc, $1,886,529: Upgrade the steel plant's furnace and increase the plant's energy efficiency.

Chester County

Kaolin RE Holdings Corporation, $4,185,729: Install a 3.8 MW solar system at the agricultural facility, South Mill Champs Mushroom Farm.

Walmoore Holsteins Inc, $4,064,534: Install an anaerobic digester and combined heat and power system to generate power for the agricultural facility.

Columbia County

Sekisui Polymer Innovations LLC, $2,106,075: Install a 3.28 MW solar system with battery storage at its thermoplastics sheet metal facility.

Cumberland County

Nestle Purina Petcare Co, $4,780,860: Install advanced dryer control upgrades and a dryer heat recovery system at its pet food manufacturing facility.

Dauphin County

Jubilee Dairy LLC, $971,006: Install an anaerobic digester with a 0.2 MW combined heat and power system at its dairy farm.

Greene County

CNX Green Ventures LLC, $31,512,922: Install gob ventilation boreholes for the capture of coal mine methane at the Enlow Fork coal mine. The project will use a pipeline system to safely capture and transport the methane for offsite processing.

Iron Senergy Holding LLC, $4,804,448: Install a Regenerative Thermal Oxidizer to capture coal mine methane.

Lancaster County

High Concrete Group LLC, $2,516,456: Install a 1.9 MW solar system at its concrete manufacturing facility.

Lawrence County

Castle Builders Supply, LLC, $6,785,000: Replace the concrete manufacturing facility with more efficient equipment and implement carbon capture technology in the manufacturing process.

Lehigh County

Nestle Purina Petcare Co, $26,370,289: Install an anaerobic digester and heat recovery system to generate clean power at its pet food manufacturing facility.

Lycoming County

Wheeland Lumber Company, Inc., $3,769,057: Install a biomass steam boiler and combined heat and power system that will generate 0.275 MW of power at its lumber facility.

Muncy Homes, Inc., $564,108: Install a 0.74 MW solar system and LED lighting retrofits at its modular housing unit manufacturing facility.

Monroe County

Sanofi Pasteur Inc, $10,646,316: Replace the egg waste processing system for greater energy efficiency and reduced industrial process emissions at the vaccine manufacturing facility.

Northumberland County

Furman Foods Inc Dba Furmano Foods, $2,628,919: Install a 1,267-kW solar system and implement energy efficiency upgrades at its food manufacturing facility.

Philadelphia

Philadelphia Gas Works, $1,174,603: Implement a valve modernization project that will significantly reduce the natural gas facility's methane emissions.

Schuylkill County

Keystone Potato Products LLC, $784,350: Install an anaerobic digester with a combined heat and power system to generate clean power at its food manufacturing facility.

MBA Building Supplies NE Inc, $580,536: Install a solar system, electrified forklift, and lighting retrofit at the steel framing product manufacturing facility.

Snyder County

Jason Sheaffer Dba A&L Wood Inc, $1,203,325: Install a 1.6 MW ground-mounted solar PV system at A&L Wood's facility, to reduce its Scope 2 emissions.

Westmoreland County

Elliott Company, $1,996,800: Replacement of a test gas with a lower-emitting gas to be utilized in compressor performance testing at the compressor manufacturing facility.

Cordia, LLC, $897,250: Install a combined heat and power system and a heat recovery steam generator to generate power for the ATI Steel Mill.

Wyoming County

Kanin Energy, Inc., $1,451,605: Install a 3 MW waste heat-to-power system at the Wilcox Natural Gas Compressor Station facility.

York County

Anax Holdings LLC, $5,771,226: Install four 500-kW turboexpander units that will generate 2 MW of power at the Texas Eastern Transmission station.

To learn more about RISE PA's grant program, please visit the DEP website.