FOR IMMEDIATE RELEASE
April 9, 2025
Contact:
John Neurohr, [email protected], 717-364-6452
If You Fund It, They Will Come: How Federal Clean Energy and Manufacturing Funds Spurred Private Spending, Doubling Appalachia’s Climate Infrastructure Investment in Coal Country
Harrisburg, PA — A new report from Keystone Research Center and ReImagine Appalachia reveals that federal investments in clean energy and manufacturing have catalyzed a major economic transformation across Appalachia, doubling clean energy investments in just one year. Titled If You Fund It, They Will Come, the report shows that public funding through landmark legislation such as the Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA) has spurred significant private investment, leading to billions of dollars in new energy and manufacturing projects across Kentucky, Ohio, Pennsylvania, and West Virginia.
“Because of new investments, such as the Form Factory 1 in Weirton, WV and the Eos battery plant in Turtle Creek, PA we now have more jobs in Appalachia. It shows that federal funding is not just about clean energy — it’s about revitalizing communities, creating family-sustaining careers, and positioning our region as a leader in the 21st-century economy” said Dr. Rike Rothenstein, a Research Associate at ReImagine Appalachia.
Key Findings:
- Federal clean energy investments in Appalachia grew 17-fold between 2022 and 2024, totaling $11.5 billion across Kentucky, Ohio, Pennsylvania, and West Virginia.
- These investments triggered a doubling of public and private clean energy spending in the region, increasing from $7.7 billion in 2022 to nearly $15.9 billion in 2023 and continued increases in 2024.
- Most congressional districts in the four-state region have benefited from clean energy investments between 2022-2024, ranging between $1 million and $5.7 billion.
- The $11.5 billion in federal investment in our four states from 2022 to 2024 represents a relatively small share of total investment of just over $40 billion tracked in the Clean Investment Monitor over the same period with private investment in clean energy technologies somewhere between 3 and 4 times larger than that of public investment. The majority of capital invested in clean energy comes from private sources, which is incentivized with those funds attracted in by federal tax credits, grants, loans and loan guarantees.
- While clean energy and manufacturing investments have been substantial, there is even more in the pipeline—another $23.7 billion of private and public investments are still outstanding for emerging and announced projects in our region.
A Pivotal Moment for Appalachia’s Economy
Historically impacted by the decline of manufacturing and extractive industries, Appalachia is now emerging as a hub for clean energy and advanced manufacturing. The IRA and IIJA have been instrumental in reversing economic stagnation, attracting private sector investment, and strengthening local economies.
However, the report warns that this progress is at risk. The continued growth of clean energy investment depends on maintaining federal support.
“This data shows that manufacturing and climate infrastructure funds are bipartisan issues. Rolling back the IRA and IIJA would jeopardize thousands of jobs and billions in planned investments, undercutting the region’s best opportunity for economic renewal in decades. This issue transcends political party and impacts all of Appalachia.” said Dana Kuhnline, ReImagine Appalachia’s Program Director.
What’s at Stake?
With President Trump signaling a potential rollback of the IRA and other clean energy initiatives, bipartisan support in Congress is critical to sustaining this economic momentum. Business leaders and lawmakers across party lines are already voicing concerns over proposed cuts, recognizing the substantial economic benefits these investments have brought to their districts.
“If we want to keep factories opening instead of closing, and keep creating well-paying jobs for workers in Appalachia, we must protect these investments. The data is clear: federal clean energy funding is working — and now is the time to build on this success, not dismantle it” said Dr. Diana Polson, Senior Policy Analyst at Keystone Research Center.
Click here for the full report.
Click here to view a recording of a press call about the report.