The U.S. Department of Energy (DOE) extended a conditional loan of 375million to Li-Cycle Holdings Corp., Canada, to help build a hub for Rochester.
According the DOE Monday, the loan would be paid through Advanced Technology Vehicles Manufacturing Program. This is part of the larger goal of Biden’s administration to increase domestic battery manufacturing and make half of new cars zero-emission by 2030. According Reuters, Chuck Schumer from New York was there to advocate for federal funding.
Schumer said in a press release, “Last year, I stood beside Li-Cycle’s powerful workforce and promised that I would push for federal funding to stimulate more growth.” Thanks to the Inflation Reduction Act investments, Rochester will now be able power America’s drive for battery technology.
According to the DOE this is the fifth ATVM loan announced in the past year. The program still has $50 billion in additional loaning authority. Redwood Materials was founded by J.B. Straubel and approved by the program for a conditional loan amount of $2 billion.
The White House reports that President Joe Biden signed the Inflation Reduction Act. It appropriated $3B more to the ATVM, and lifted the loan cap.
According to the DOE, this facility will be capable of recycling enough chemicals to be used in more than 200,000 electric cars. China is the largest supplier.
Ajay Kothhar, CEO and co-founder at Li-Cycle stated in a press statement that “The Rochester Hub” will be a significant asset to the company and its stakeholders.
Daily Caller News Foundation requested Li-Cycle’s comment. However, the DOE and Li-Cycle didn’t respond immediately.