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Get a Free QuotePennsylvania's $396M RISE PA program covers up to 50% of solar, storage, and efficiency project costs for PA manufacturers, farms, and food processors. Stack with Section 48E and cover 70-80% of your system cost.
Program Funding
$396M
Total RISE PA allocation
Grant Coverage
Up to 50%
Of eligible project cost
Round 3 Deadline
Apr 15
2026 application close
Stack with 48E
80%
Combined coverage possible
Round 3 closes April 15, 2026. The engineering assessment alone takes 4-8 weeks. If you have not started, begin this week. Next opportunity: Round 4 will likely open in late 2026 with no guaranteed timeline.
The Reducing Industrial Sector Emissions (RISE PA) program is administered by the Pennsylvania Department of Environmental Protection (DEP) and funded through Pennsylvania's share of Regional Greenhouse Gas Initiative (RGGI) auction proceeds. The $396 million program is one of the largest industrial decarbonization grant programs in the Northeast.
RISE PA is unique because it is specifically designed for industrial and agricultural energy users — not commercial office buildings or residential properties. The DEP prioritizes projects that achieve the greatest emissions reductions per dollar of grant funding.
Solar is the dominant project type in RISE PA applications because it produces quantifiable, permanent emissions reductions (replacing grid electricity with zero-emission generation), has predictable costs backed by multiple contractor bids, and combines easily with storage for grid independence. A 500 kW industrial rooftop system can reduce a manufacturer's Scope 2 emissions by 500-600 MT CO2e per year — a score that ranks well competitively within the program.
RISE PA grants cover up to 50% of total eligible project cost, including equipment, labor, engineering, permitting, and interconnection fees. The 50% cap is a maximum — the actual percentage depends on how competitively your project scores on cost-effectiveness (cost per metric ton of CO2e reduced annually).
| Project Type | System Size | Project Cost | 50% RISE PA Grant | After Grant |
|---|---|---|---|---|
| Dairy Farm Solar | 100 kW | $230,000 | $115,000 | $115,000 |
| Food Processor Solar | 300 kW | $660,000 | $330,000 | $330,000 |
| Manufacturer Solar + Storage | 500 kW + 500 kWh | $1,350,000 | $675,000 | $675,000 |
| Industrial Solar + Efficiency | 1 MW solar + motors | $2,800,000 | $1,400,000 | $1,400,000 |
Note: Actual grant amounts depend on DEP scoring. 50% is the maximum, not a guarantee. Projects scoring below the funding threshold receive no grant.
RISE PA is a competitive grant program. Not every application receives 50% — some receive less, and some receive nothing if they score below the funding cutoff for the round. The DEP scores applications based on cost per metric ton CO2e reduced, project readiness (permits, contractor contracts), and economic benefit to Pennsylvania. Strong applications have complete engineering assessments, firm contractor quotes, and realistic emissions calculations.
RISE PA targets Pennsylvania's industrial and agricultural economy. The program is specifically designed for businesses with significant energy loads — operations that consume large amounts of electricity and/or fossil fuels in their production process.
Steel, aluminum, chemical, plastics, paper, printing, automotive parts, food processing equipment
Dairy farms, poultry operations, hog farms, vegetable greenhouses, mushroom farms (PA is #1 nationally)
Breweries, wineries, dairy processors, frozen food plants, canneries, cold storage warehouses
Pennsylvania is one of the most agriculturally diverse states in the Northeast. Lancaster County is the #1 non-irrigated agricultural county in the United States, producing dairy, poultry, mushrooms, and specialty crops. PA farms often have large, unshaded barn roofs ideal for solar, significant electric loads from refrigeration and lighting, and strong justification for grant funding based on rural economic impact. RISE PA explicitly prioritizes agricultural applicants in its scoring criteria.
Round 3 of RISE PA closes on April 15, 2026. This is a hard deadline — the DEP portal closes at the end of business on that date. The engineering assessment alone takes 4-8 weeks. If you are reading this in late March, you are at the edge of feasibility. Begin today.
Hire a PA-licensed Professional Engineer (PE) or certified energy auditor (CEA) to conduct a qualifying facility energy assessment. This must quantify baseline consumption, project scope, emissions reductions (MT CO2e/yr), and costs.
Get at least two competitive bids from PA-licensed solar contractors. The DEP reviews project costs for reasonableness. Quotes must be itemized — labor, equipment, permitting, interconnection — and dated within 90 days of application.
Complete the RISE PA application via the PA DEP eBusiness Center. Required documents: engineering assessment, contractor quotes, proof of PA business registration, tax clearance certificate, and completed grant agreement template.
DEP scores applications on cost-effectiveness ($/MT CO2e reduced), project readiness, and economic benefit to PA. Expect 3-6 months to notification. Awards are conditional on meeting all requirements.
Complete the solar installation with your contractor. Upon project completion, submit all invoices, inspection records, utility interconnection approval, and photos to DEP for reimbursement. RISE PA reimburses up to 50% of eligible costs.
From first call to completed application: 8-12 weeks minimum. The critical path is the engineering assessment. Most qualified PEs and CEAs are already booked 3-6 weeks out. If you are targeting Round 3 and have not retained an engineer, call today. Round 4 timing is not confirmed — waiting may mean missing a year of grant availability and energy cost savings.
RISE PA and Section 48E are stackable programs, but the structure matters. Here is how to combine them — and the critical ownership structure issue you must get right.
DEP reimburses up to 50% of project cost after completion. Goes directly to the business (manufacturer, farm, or food processor).
The ITC goes to the SYSTEM OWNER — not the energy user. If you own the system (manufacturer buys and installs), you can claim MACRS depreciation. If a third party owns the system (PPA/lease), THEY claim the 48E ITC and pass savings through lower electricity rates.
Manufacturer owns system outright: RISE PA 50% grant + MACRS 5-year depreciation (not the direct 48E ITC). A PA C-corp at 29.99% combined rate can recover 25-30% of remaining cost via MACRS in Year 1. Total: ~75-80% effective recovery.
The Section 48E commercial ITC requires that construction begin before July 4, 2026. "Beginning construction" means either: (1) physical work of a significant nature begins at the site, or (2) the business enters into a binding contract for at least 5% of total project cost. With a RISE PA Round 3 award expected in fall 2026, a manufacturer who wants to claim 48E benefits must enter a binding contract with their solar contractor before July 4. Note that 25D (residential ITC) expired December 31, 2025 — manufacturers and farms do not use 25D.
RISE PA (Reducing Industrial Sector Emissions) is a $396 million Pennsylvania DEP grant program that covers up to 50% of the installed cost of solar, energy storage, energy efficiency upgrades, and fuel switching projects for PA manufacturers, agricultural operations, and food processors. The grant is designed to reduce industrial greenhouse gas emissions while cutting energy costs for Pennsylvania businesses.
Round 3 of RISE PA has a deadline of April 15, 2026. Applications must be submitted through the Pennsylvania DEP's online grant portal before the close of business on that date. Incomplete applications will not be considered. Given the engineering assessment requirements, begin your process at least 60-90 days before the deadline.
RISE PA is open to Pennsylvania manufacturers (any NAICS code in manufacturing sectors), agricultural operations (farms, dairies, poultry operations, mushroom farms), and food and beverage processors. The facility must be located in Pennsylvania, the energy project must reduce emissions at the site, and the business must be current on all PA tax obligations. There is no minimum or maximum size requirement, though larger projects are evaluated more competitively.
Yes — RISE PA and Section 48E are stackable, but the math requires care. RISE PA covers up to 50% of project cost as a grant. Section 48E provides a 30% ITC (or higher with adders) for the THIRD-PARTY SYSTEM OWNER — not the manufacturer directly. If a manufacturer uses a PPA or lease structure, the financing company claims 48E and passes savings through lower rates. If the manufacturer owns the system outright, they claim MACRS depreciation (not the 48E ITC directly, unless they qualify as a tax-equity partner). Combined correctly, these programs can cover 70-80% of project cost. Consult a tax advisor to structure ownership appropriately.
RISE PA covers a broad range of industrial decarbonization projects: rooftop and ground-mount solar (photovoltaic), battery energy storage systems (BESS), electric boilers and process heat electrification, LED lighting and controls, high-efficiency motors and VFDs, fuel switching from natural gas to electricity or hydrogen, combined heat and power (CHP), and energy management systems. A project can include multiple measures as a single application.
RISE PA requires a qualifying energy assessment conducted by a licensed professional engineer (PE) or a certified energy auditor (CEA) before the application is submitted. The assessment must quantify baseline energy consumption, the proposed project scope, projected emissions reductions (in metric tons CO2e per year), and estimated project costs. The DEP uses the assessment to score your application on cost-effectiveness ($ per metric ton CO2e reduced).
DEP reviews applications after each round closes. Expect 3-6 months from the application deadline to award notification. After award, businesses typically have 24-36 months to complete the project and submit documentation for reimbursement. RISE PA is a reimbursement grant — you pay the contractor first, then submit invoices to DEP. Some recipients use bridge financing to cover project costs before reimbursement arrives.
RISE PA grants received by for-profit businesses are generally considered taxable income at the federal level, though they may be offset by accelerated MACRS depreciation deductions on the project. Pennsylvania businesses should consult with a CPA to properly structure the grant receipt. The grant reduces the depreciable basis of the asset for MACRS purposes, similar to how the ITC reduces the depreciable basis. Nonprofits and tax-exempt entities receiving RISE PA grants may have different treatment.
USDA grants cover 25-50% for farm solar in PA. Lancaster, Chester, and York County farms are especially competitive.
5-year MACRS + 20% bonus depreciation + Section 48 ITC. 2026 is the last year with any bonus — drops to 0% in 2027.
Full commercial solar guide: ITC stacking, SRECs, PRESS Act, financing options, and ROI models for PA businesses.
Complete stacking guide: SRECs, net metering, utility rebates, RISE PA, REAP, and MACRS depreciation.
The engineering assessment takes 4-8 weeks. NuWatt works with PA-licensed engineers to complete qualifying energy assessments and can connect you with experienced RISE PA contractors.
Section 48E ITC requires beginning construction before July 4, 2026. RISE PA Round 3 application deadline is April 15, 2026.