DOE offers $100 million for carbon dioxide conversion pilot projects

January 30, 2025

The U.S. Department of Energy is making a major push to transform industrial carbon emissions into valuable products. The agency recently announced a $100 million federal funding opportunity for pilot-scale carbon conversion technologies. The investment, provided through the 2021 Infrastructure Investment and Jobs Act, looks to demonstrate how captured carbon dioxide can be converted into sustainable materials ranging from building products to biofuels. 

The funding is managed through DOE’s Office of Fossil Energy and Carbon Management (FECM) and will support projects testing technologies that are close to commercial readiness. The program specifically targets biological, catalytic and mineralization processes that show promise for significant carbon mitigation and conversion at scale. 

RELATED: DOE issues $500 million funding opportunity to expand nation’s carbon transport systems

Many industries are looking to reduce their carbon footprint while remaining economically competitive, and carbon conversion technologies offer a potential win-win solution. Rather than simply capturing and storing emissions underground, these approaches are meant to transform carbon dioxide into products with market value, creating new revenue streams while reducing environmental impact. 

The funding opportunity focuses on four key areas, with an emphasis on technologies that are ready for pilot-scale testing. The largest focus area supports biological conversion, including both photosynthetic and non-photosynthetic approaches. This includes developing systems for algae biomass production and fermentation processes that can turn CO2 into fuels and other products. 

Another major component targets catalytic conversion, supporting projects that use thermochemical and electrochemical processes to transform carbon dioxide. This work will focus on improving reactor and catalyst performance, along with improving the durability of key components like electrolyzer stacks. 

The mineralization pathway aims to demonstrate technologies that can convert CO2 into construction materials like synthetic aggregates and alternative binding agents. These projects must operate at a scale of 10 tonnes per day, showing their potential for industrial implementation. 

The fourth component of funding supports the crucial step of proving these technologies are ready for market adoption. This includes performance testing and life cycle analysis, which will help gather essential data for companies considering implementing these systems at commercial scale. 

Applications for the funding opportunity are due by April 11, 2025. The Notice of Funding Opportunity is available through the FedConnect platform. 


Photo by Pixabay

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