ODOE at 50: History of Federal Funding
2025 marks 50 years of Oregon Department of Energy public service. As we continue leading Oregon to a safe, equitable, clean, and sustainable future for the next 50 years (and beyond!), we’re taking time to look back and reflect on what got us here.
At the Oregon Department of Energy, we're helping shape the state's energy future — including developing and administering incentive programs, providing expertise and analysis in energy policy and program areas, managing the public process for siting and monitoring large energy facilities, executing strong nuclear safety and energy security planning and implementation, and more. The agency has fluctuated between about 75 and 125 employees in recent years, with an overall budget of $100 to $250 million. Over its five decades of public service, ODOE has received significant support for its work through federal funding from agencies like the U.S. Department of Energy, Environmental Protection Agency, the U.S. Department of Agriculture, and the U.S. Department of Defense.
ODOE is grateful for our partnership with federal agencies, including longtime funding to Oregon from the U.S. State Energy Program as well as support for Oregon’s role in the Hanford Nuclear Site cleanup. In addition to longtime programs, the federal government has also used state energy offices over time to help advance energy policy and help the economy recover following economic downturns, such as the American Recovery and Reinvestment Act of 2009, and the more recent 2021 Infrastructure and Investment and Jobs Act and the 2022 Inflation Reduction Act (learn more on ODOE’s website).
Take a look at some of the programs and projects federal funding has supported over the decades in Oregon:
U.S. State Energy Program. SEP dollars have supported ODOE projects and programs for years and are a vital piece of ODOE’s budget and services. The program funds important Oregon programs like home energy scoring; energy efficiency and conservation in schools and public buildings; tracking and reporting on zero emission vehicle progress and goals; and support for ODOE’s Biennial Energy Report and Oregon Energy Strategy development, among other projects and programs over time.
Historic Hanford Nuclear Site
Hanford Nuclear Site. For more than 40 years, the Hanford Nuclear Site in Washington produced plutonium for America’s nuclear weapons program. The work at Hanford created significant amounts of radioactive and chemically hazardous waste. In the late 1980s, the focus at Hanford shifted to cleanup. Because the site is just 35 miles north of Oregon’s border on the Columbia River, ODOE’s primary role is to ensure cleanup decisions are protective of the river and Oregonians’ health and safety. The U.S. government recognizes ODOE as a critical, objective voice in technical reviews and policy discussions related to the cleanup and supports our work through federal grants. In the current 2023-2025 biennium, ODOE received nearly $2.9 million in federal funds for Hanford oversight and emergency response work.
American Recovery and Reinvestment Act. ARRA allocated more than $4.2 billion in economic assistance to Oregon, including $55.9 million to ODOE for energy projects and programs. Investments helped schools, counties, cities, and businesses reduce energy and save on operating costs. Funding supported biomass systems, electric vehicle charging stations, agricultural irrigation systems, and energy efficiency in homes. In partnership with Oregon Housing & Community Services, ODOE also implemented an appliance rebate program for low-income homeowners, covering equipment like heat pumps, furnaces, water heaters, and more. ARRA also supported small mid-valley contracting businesses to further boost the economy and energy-related projects. Learn more about ARRA energy funding in our 2012 legislative report.
Irrigation at an Oregon farm.
U.S. Department of Agriculture Energy Audit and Renewable Energy Development Assistance Grant. In 2021, ODOE was awarded a $100,000 grant from the USDA to pay for up to 75 percent of the cost of energy assessments for Oregon agricultural producers and rural small businesses. An assessment may include inspection of buildings, processes, and/or equipment to analyze energy consumption and identify efficiency improvements to reduce a business’s energy use and costs. Results can help prioritize potential improvement projects based on energy savings, payback period, and other factors, and provide information for businesses to use when applying for other state, local, and federal grants. In 2025, ODOE was awarded another $100,000 to continue the program. Since the program began in 2021, it has supported dozens of rural businesses with technical assistance and connections to programs for implementing improvements, and provided funding for 16 completed energy assessments.
U.S. Department of Defense Office of Local Defense Community Cooperation. In 2022, ODOE launched a new interactive tool and report that connects Oregon renewable energy potential with important development considerations. The Oregon Renewable Energy Siting Assessment was funded through a $1.1 million U.S. Department of Defense grant, with the goal of providing baseline data to support important conversations around potential energy and transmission development in the state. Housed on Oregon Explorer, the interactive online reporting and mapping tool combines data on renewable energy, military training areas, economic development, land use, natural resources, community characteristics, and other important considerations.
Rooftop solar projects will be supported by federally funded programs.
Infrastructure Investment and Jobs Act & Inflation Reduction Act. Congress passed two major pieces of legislation related to investments in energy and climate in 2021 and 2022. Since their passage, ODOE has secured over $275 million in formula and competitive grants from the laws, supporting energy projects around grid resilience, energy efficiency, renewable energy, workforce training, and more. As a state, Oregon has been awarded even more funds, including as a member of the Pacific Northwest Hydrogen Association, which was awarded up to $1 billion award to support a clean hydrogen economy in the state. ODOE has already rolled out some of this federal funding, including Energy Efficiency and Conservation Block Grants, Grid Resilience, and a new Heat Pump Purchase Program that will provide $2,000 incentives for heat pumps in Oregon homes. More programs are in development, including an $86.6 million Solar for All program and $113 million for two Home Energy Rebate programs.