Oregon — The U.S. Department of Energy (DOE) has announced a new Notice of Funding Opportunity (NOFO) offering up to $100 million in federal funding to refurbish and modernize existing coal power plants across the country. The initiative aims to enhance the efficiency, reliability, and lifespan of America’s coal and natural gas energy infrastructure.
The announcement follows the Department’s September commitment of $625 million to expand and reinvigorate the nation’s coal industry. The combined efforts are intended to strengthen the reliability of the U.S. power grid and support the continued operation of domestic coal facilities.
“For years, the Biden and Obama administrations relentlessly targeted America’s coal industry and workers, resulting in the closure of reliable power plants and higher electricity costs,” said U.S. Secretary of Energy Chris Wright. “Thankfully, President Trump has ended the war on American coal and is restoring common sense energy policies that put Americans first. These projects will help keep America’s coal plants operating and ensure the United States has the reliable and affordable power it needs to keep the lights on and power our future.”
The program supports President Trump’s Executive Orders, Reinvigorating America’s Beautiful Clean Coal Industry and Strengthening the Reliability and Security of the United States Electric Grid. It reflects the administration’s broader goal of restoring U.S. energy dominance by balancing environmental stewardship with energy independence and industrial growth.
The new NOFO seeks proposals for practical, high-impact projects in three strategic areas aimed at modernizing the nation’s aging coal fleet:
- Advanced Wastewater Management: Development and deployment of systems capable of cost-effective water recovery and creation of value-added byproducts from wastewater streams.
- Fuel-Switching Retrofits: Engineering and design of retrofit systems that enable seamless fuel switching between coal and natural gas while maintaining critical performance standards.
- Coal-Natural Gas Co-Firing Systems: Deployment and testing of advanced burner designs and control systems that expand gas co-firing capabilities to provide flexible, low-cost retrofit options for coal plants with minimal efficiency penalties.
The DOE’s National Energy Technology Laboratory (NETL), under the Office of Fossil Energy (FE), will oversee the management and selection of awarded projects. The Department said it expects the funding to stimulate innovation in both public and private sectors, creating opportunities for regional economic development and workforce retention in energy-producing communities.
The full Notice of Funding Opportunity, including eligibility requirements and application materials, is available on the Department of Energy’s website. Applications must be submitted by January 7, 2026, at 5:00 p.m. Eastern Time.
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