Maryland Unveils $64 Million Program to Accelerate Local Government Clean Energy Transition and Grid Modernization
Key Insights
Maryland Governor Wes Moore launched a $64 million Local Government Energy Modernization Program to fund clean energy and infrastructure projects.
The initiative, managed by the Maryland Energy Administration, aims to reduce local utility costs, modernize infrastructure, and advance the state's net-zero emissions goal.
Funding is available through formula-based block grants and competitive project grants, with an income-based cost-share to ensure equitable participation across counties.
Eligible projects include HVAC upgrades, solar panel installations, energy audits, and insulation improvements, all designed to enhance grid reliability and lower long-term costs.
Maryland Governor Wes Moore today announced the launch of the Local Government Energy Modernization Program, a significant $64 million initiative designed to accelerate clean energy planning and deployment across the state's municipalities and counties. Spearheaded by the Maryland Energy Administration (MEA), this program marks a pivotal step in the state's commitment to achieving net-zero emissions while simultaneously bolstering local economies through reduced operational costs and enhanced infrastructure resilience.
The comprehensive program will allocate funding through both formula-based block grants and competitive project grants, ensuring a broad reach for innovative clean energy initiatives. A key feature is its income-based cost-share structure, specifically designed to facilitate full participation from rural and underserved counties, thereby promoting equitable access to clean energy investments. Eligible projects span a wide array of energy efficiency and renewable energy improvements, including critical upgrades to HVAC systems, installation of photovoltaic solar panels, comprehensive energy audits, and enhanced building insulation.
Governor Moore emphasized the broader implications of the program, stating, "It isn’t enough to ask Marylanders to see themselves in the consequences of the climate crisis; they need to see themselves in the progress. Investments in climate action drive new infrastructure projects, support our work modernizing the grid, and strengthen our pledge to act as disciplined stewards of the taxpayer dime. That is what today’s announcement is all about." This sentiment underscores the dual benefit of the program: environmental stewardship coupled with fiscal responsibility.
The initiative is poised to transition local governments from outdated, less efficient energy systems to modern, cleaner alternatives. By doing so, it is projected to generate substantial savings on energy bills for local entities, allowing them to reallocate funds towards essential public services. Furthermore, these projects are anticipated to significantly reduce peak electricity demand and enhance overall grid reliability, contributing to lower long-term supply and infrastructure expenditures across the state.
Paul G. Pinsky, Director of the Maryland Energy Administration, highlighted the program's flexibility and local impact. "These grants will help save money for county and local governments by investing deeply in clean energy at the local level. This can free up funding for other critical public services," Pinsky noted. "The agency designed this program to be flexible enough to be tailored to local priorities so that every Maryland county — regardless of size or income — can take meaningful steps forward to cut costs and combat climate change."
The program's application window is currently open, with submissions accepted through Friday, December 5, at 5 p.m. This strategic investment is expected to catalyze a wave of localized clean energy projects, setting a precedent for state-led initiatives aimed at decarbonization and grid modernization.