Cabinet for Economic Development
Governor Beshear Announces $3.35 Million in Industrial Facility Retrofit Grants Awarded to Three Kentucky Companies

Press Release Date:  Thursday, August 12, 2010  
Contact Information:  Mandy Lambert, (502) 564-7670  

Funding made possible through the American Recovery and Reinvestment Act

FRANKFORT, Ky. (Aug. 12, 2010) – Gov. Steve Beshear today announced the award of $3.35 million in American Recovery and Reinvestment Act (ARRA) funding to three Kentucky companies.  The funding will be used for energy efficiency upgrades in existing Kentucky industrial facilities.

Companies receiving ARRA funding include General Electric Company (GE) in Louisville ($2.5 million); Arch Chemicals Inc. in Brandenburg ($450,000); and International Paper Company in Henderson ($400,000).   

“Reduced energy consumption is critical in today’s economy,” said Gov. Beshear.  “I am committed to reducing energy costs within state government, and I am pleased that government can partner with private industry through ARRA funding to spur energy efficiency gains.  The industrial facility retrofit projects undertaken as a result of these grant awards will serve as an example of the energy efficiency improvements that can be realized in the private sector.  Not only will the companies save money on energy costs, but the environment will benefit as well from reduced emissions.”  

 The purpose of the grant funding is to accelerate energy efficiency and renewable energy industrial projects for businesses locating or expanding operations in Kentucky that create or retain jobs while saving energy and reducing carbon emissions.  Additionally, the funding will help achieve the goals set by Gov. Steve Beshear’s Intelligent Energy Choices for Kentucky’s Future: Kentucky’s 7-Point Energy Strategy.

Companies were selected through a competitive Request for Proposal (RFP) process administered by the Cabinet for Economic Development.  Thirteen proposals were received and scored using the following criteria: jobs created or retained, with an emphasis on green jobs; amount of energy saved per grant dollar invested; degree of investment/impact in the local community; private dollar match/leverage of grant funds; project elements that maximize demonstration/showcase value; and offeror qualifications/capability and responsiveness to the RFP. 

The Cabinet will provide between 40 and 60 percent of the funds needed for each project, with the exact amount varying between projects.  Each company awarded a grant will provide the balance of funding to complete their projects. 

While each is different, all projects will offer significant energy savings and reduced operating costs.  For example, GE will implement multiple energy savings projects at its Appliance Park in Louisville, including replacing inefficient lighting, upgrading air conditioning and industrial waste treatment systems, and replacing a central steam heating system with more efficient point-of-use systems.      

“As GE begins to revitalize Appliance Park by in-sourcing production and building new product manufacturing facilities, we have recognized the need to increase the energy efficiency of Appliance Park operations,” said Dirk Bowman, general manager of Appliances Manufacturing for GE.  “We are very pleased to receive these funds that help us continue our efforts to make Appliance Park as energy efficient as possible.  The projects funded through this grant contribute to our ability to manufacture products at Appliance Park, such as our new line of energy efficient hybrid electric water heaters.” 

The grants awarded through this Industrial Facility Retrofit program are one component of the Commonwealth’s State Energy Program that was funded through ARRA.  The program is administered by the Energy and Environment Cabinet’s Department for Energy Development and Independence.  Information on additional ARRA-funded State Energy Program projects is available at  

The Kentucky Cabinet for Economic Development is the primary state agency in Kentucky responsible for creating new jobs and new investment in the state.  New business investment in Kentucky in 2009 totaled nearly $977 million with the creation of more than 6,900 new jobs.  Information on available development sites, workforce training, incentive programs, community profiles, small business development and other resources is available at