U.S. Department of Energy Announces Nearly $13 Million to Incentivize Smart Manufacturing at Small- And Medium-Sized Facilities

WASHINGTON, D.C. — Today, the Biden-Harris Administration, through the U.S. Department of Energy (DOE), announced nearly $13 million in funding available from the Bipartisan Infrastructure Law for states, as well as state-funded universities and technical and community colleges, to ensure that smart manufacturing technologies and high-performance computing (HPC) resources are accessible to domestic manufacturing firms. Administered by DOE’s Office of Manufacturing and Energy Supply Chains (MESC), the State Manufacturing Leadership Program (SMLP) aims to remove existing barriers that prevent small- and medium-sized manufacturers (SMMs) from using innovative, data-driven tools and technologies. These critical tools will allow SMMs to increase production efficiency and play a key role in strengthening the domestic manufacturing base.

Smart manufacturing refers to the use of emerging and advanced technologies, such as artificial intelligence and automation, to increase the efficiency of the traditional manufacturing process. In the long run, the widespread adoption of smart manufacturing by SMMs will lower costs, reduce industrial energy use, improve productivity, and increase the competitiveness of American manufacturers. Smart manufacturing also enables real-time monitoring and can help reduce vulnerabilities in critical supply chains, ensuring that essential goods and materials can be produced securely and reliably on U.S. soil. Today, the majority of SMMs do not employ smart manufacturing or HPC technologies, largely due to high up-front costs and lack of access to training resources. Through this program, DOE is working to close that gap.

The nearly $13 million in funding is the third round of funding to be released through the $50 million State Manufacturing Leadership Program. In the first two rounds, DOE selected 17 projects across 15 states to expand or create programs that will support thousands of SMMs in implementing smart manufacturing technologies and engaging HPC resources. Learn about previous State Manufacturing Leadership Program selections here.

With this third round, DOE aims to further expand state-led support to reach even more SMMs. In addition to all U.S. states, including Washington, D.C. and U.S. territories, this funding is also available to state-funded universities and technical and community colleges, which play a critical role in preparing our workforce for careers in manufacturing. Through degree and certification programs for students and incumbent workers or through technical assistance provided directly to SMMs, these schools are well positioned to advance the domestic manufacturing workforce and better prepare them to leverage cutting-edge smart manufacturing technologies across our industrial base.

Eligible entities are invited to submit applications that facilitate SMM access to resources such as smart manufacturing technical assistance, training, facility assessments, apprenticeships, and direct financial assistance to implement smart manufacturing improvements. Competitive funding awards of up to $2 million per selectee will be distributed over a period of up to three years. Awardees will be required to provide a cost share of at least 23.1% of the total project cost. DOE seeks applications for programs that will be self-sustaining long-term.

Receiving an award through the SMLP allows awardees to obtain technical assistance from CESMII, the Smart Manufacturing Institute. Furthermore, awardees can connect their SMMs to a diverse coalition of public and private technical assistance providers, such as the Manufacturing USA institutes, the National Laboratories, NIST Manufacturing Extension Partnerships, Industrial Training & Assessment Centers, and institutions of higher education.

Read the full funding opportunity here. An informational webinar on the State Manufacturing Leadership Program funding opportunity will be held on Wednesday January 29, 2025, at 3:00 p.m. ET. Full applications are due on Monday April 21, 2025, by 3:00 p.m. ET.

This solicitation is managed by ENERGYWERX in partnership with DOE, a collaboration made possible through an innovative Partnership Intermediary Agreement (PIA) set up by the DOE's Office of Technology Transitions (OTT). This agreement enables ENERGYWERX to broaden DOE’s engagement with innovative organizations and non-traditional partners, facilitating the rapid development, scaling, and deployment of clean energy solutions.

Learn more about MESC’s mission to catalyze investments in America’s energy future in support of the re-shoring, skilling, and scaling of U.S. manufacturing across energy supply chains.