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Energy Policy Modernization Act Impacts Motor & Drive Markets

  • February 2021
  • Number of views: 157
  • Article rating: 5.0

Rob Boteler
Confluence Energy, LLC

The United States Congress passed long-awaited energy legislation as part of the economic stimulus bill approved in late December 2020 (Division Z in the bill). The energy bill has two distinct areas that will affect EASA members.

The first includes several sections that will create opportunities for EASA members through their effect on customers and markets. These sections provide incentives, programs and grants for various customer groups, including schools, commercial buildings, water utilities, microgrids, renewables, technology commercialization, industrial businesses, smart manufacturing, agriculture, data centers, technology transfer and research projects. The breadth of these programs and the associated funding should create opportunities for many years to come for the motor and drive community. In general, the act seeks to create a long-term path to address decarbonization. The bill looks to reduce fossil fuel use through electric devices powered by renewable sources, thus creating opportunities for companies that sell and repair electric motors and controls.

The second opportunity is found in the motor and drive incentive section of the bill (1005) and provides a much more specific motor and control program.

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