ORLANDO, FLORIDA / AGILITYPR.NEWS / October 27, 2023 / The Importance of the US EPA's Greenhouse Gas Reduction Fund (GGRF) for Climate Change Mitigation

Call to Action: The US Government and the People of America People stand shoulder-to-shoulder with the overarching objectives of the Greenhouse Gas Reduction Fund (GGRF) to:

(1) reduce emissions of greenhouse gases and other air pollutants;

(2) deliver benefits to low-income and disadvantaged communities; and

(3) mobilize financing and private capital to stimulate additional deployment of greenhouse gas and air pollution reducing projects.

Stat/ Fact: The GGRF is allocated $27 billion for the fiscal year 2022, with funds available until September 30, 2024. These funds are intended to be distributed through various grant programs and competitions to mitigate US and Global Climate Change mitigation

Analogy: "We feel like we're on a carousel that won't let me get off”... Climate change won't just impact forest, or coral reefs, or even people in far-off countries – it will affect all of us. From more extreme weather to increasing food prices, to recreation and decreased opportunities to appreciate the natural world, people everywhere will feel its effects.

Executive Summary:

The Greenhouse Gas Reduction Fund (GGRF) is a significant component of the Inflation Reduction Act of 2022 (IRA). The GGRF is administered by the U.S. Environmental Protection Agency (EPA) and is designed to support efforts to reduce greenhouse gas (GHG) emissions and promote climate change adaptation and resilience. Here are some key points regarding the GGRF based on the information you provided:

1. Funding Allocation: The GGRF is allocated $27 billion for the fiscal year 2022, with funds available until September 30, 2024. These funds are intended to be distributed through various grant programs and competitions.
2. Grant Recipients: The GGRF provides funding to a range of recipients, including states, municipalities, tribal governments, and eligible nonprofit organizations. These recipients are expected to use the funds to support projects and activities aimed at reducing or avoiding GHG emissions.
3. Eligible Recipients: Eligible recipients are nonprofit organizations that focus on providing financial assistance to accelerate the deployment of low- and zero-emission technologies. These organizations are expected to leverage private capital and public or charitable contributions for this purpose.
4. Qualified Projects: Qualified projects eligible for GGRF funding are those that reduce or avoid GHG emissions and other forms of air pollution. These projects should also involve partnerships with and investments from the private sector.
5. Competitive Grants: GGRF funding is distributed through competitive grants. Recipients can use the grant funding for direct investments in qualified projects or indirect investments to support entities at the state, local, territorial, or tribal levels that, in turn, provide financial assistance to qualified projects.
6. EPA Implementation: After the enactment of IRA, the EPA engaged in a stakeholder engagement strategy to shape the implementation of the GGRF. This involved soliciting public input and expert guidance on program design and execution.
7. Funding Competitions: The EPA announced plans to hold two major competitions to distribute the grant funding from the GGRF: a $20 billion General and Low-Income Assistance Competition and a $7 billion Zero-Emissions Technology Fund Competition.
8. Implementation Framework: The EPA released additional guidance in April 2023, proposing to split the funding between national and community groups through three separate competitions: the National Clean Investment Fund, Clean Communities Investment Accelerator, and Solar for All competition. The guidance also identified priority project categories, including distributed power generation, building retrofits, and transportation pollution reduction.
9. Green Banks: The GGRF reflects characteristics commonly associated with "green banks." Green banks are financial institutions, often public or nonprofit, aimed at facilitating private investment in low-carbon and climate-resilient technologies. They focus on reducing the cost of capital, mitigating risk, and providing favorable lending rates to incentivize green investments.
10. Past Congressional Proposals: The concept of a national-level green bank in the United States has been the subject of past congressional proposals. These proposals have varied in terms of their legal status, relationships with the U.S. government, eligibility criteria, capitalization methods, and governance structures.

Conclusion:

The GGRF represents a significant investment in addressing climate change and reducing greenhouse gas emissions by supporting a wide range of projects and initiatives across the United States. The information you provided outlines the key components and the process involved in implementing this important initiative.