Biden admin gives 2.8 billion in grants to EV battery producers who pursue diversity, equity and inclusion

by mcardinal

Savannah Hulsey Pointer, FISM News 

 

This week, the Biden administration gave $2.8 billion to 20 businesses in exchange for their commitment to hiring workers who will uphold Democratic principles like diversity, equity, and inclusion while they produce the batteries and other components needed in electric vehicles.

The Biden administration’s latest effort to further its diversity, equality, inclusion and accessibility (DEIA) agenda in the business sector comes in the form of conditional grants. DEIA representatives from a number of departments met last month and decided to coordinate their efforts “across the federal government and our society.” 

It also fits into a larger pattern of businesses adhering to environmental, social, and governance (ESG) principles in an effort to establish a “responsible” reputation with investors. 

The Department of Energy’s Press release included details about how many jobs were expected to be created and the source of the funding.

The funded projects will help employ workers from many different construction and industrial unions, and 15 of the projects will collaborate with minority-serving institutions, including Historically Black Colleges and Universities (HBCUs), to hire and train workers. The new and expanded facilities funded through these awards are expected to cumulatively support more than 8,000 jobs, including 5,000 permanent jobs. 

The funding announced today is the first phase of $7 billion in total provided by the President’s Bipartisan Infrastructure Law to strengthen the domestic battery supply chain by supporting upstream materials processing to create the precursor materials for batteries. DOE anticipates moving quickly on additional funding opportunities to continue to fill gaps in and strengthen the domestic battery supply chain. 

President Biden and Energy Secretary Jennifer Granholm said that their choice to offer federal cash for these projects was conditioned on a promise to push the DEIA agenda when they announced the $2.8 billion “investment” in EV battery companies on Wednesday.

“The companies submitted plans for engagement with local stakeholders, Tribal nations, environmental groups, and labor unions to ensure the funded projects create high-quality jobs; advance diversity, equity, inclusion, and accessibility; and contribute meaningfully to the Justice40 initiative to provide 40% of the overall benefits of federal clean energy investments to disadvantaged and underrepresented communities,” the Department of Energy said.

The payments included a $57 million payment to American Battery Technology Company, which pledged to “foster local community improvements through an environmental and equity-focused micro-grants program.”

$100 million was granted to Applied Materials, Inc., which made the promise of “location-based action through equity-centered community engagement efforts.” 

An additional $75 million was awarded to Cirba Solutions, which claimed that “advancement of equity, environmental justice, and energy justice are woven into the framework of the organization.” 

Group 14 Technologies received an additional $100 million, and it was claimed that they had made a commitment to “worker engagement, job quality, diversity, equity, inclusion, accessibility, and investments in clean energy to benefit disadvantaged communities throughout eastern Washington.”

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