Danielle Smith – Keystone State News Connection

In Pennsylvania, some former coal communities are transitioning into clean energy hubs with funding from the Inflation Reduction Act.

Pennsylvania has received $953 million from the Inflation Reduction Act to improve infrastructure resilience. Based in York, Voith Hydro North America manufactures hydroelectric turbines.

Carl Atkinson, vice president of sales for Voith Hydro, said the federal funding and tax incentives have helped them to collaborate with the International Association of Machinists and Aerospace Workers union to expand manufacturing and create jobs.

“The credit that we applied for, it’s through the Inflation Reduction Act,” Atkinson explained. “It is basically a 30% tax credit for businesses that invest in their existing manufacturing operations for renewable energy equipment.”

Because it is a tax credit, he said Voith has a list of requirements to meet for apprenticeships, paying prevailing wages and more. He added Voith is eligible for an almost $6 million in tax credits due to its investments in two machines totaling nearly $20 million.

Atkinson noted the funding allows for equipment upgrades and improvements to productivity and worker safety. He pointed out it supports Voith’s apprenticeship programs in welding and machining and the continuous learning makes the workers eligible for higher grades of work and more pay.

“Those apprenticeships are fully supported by the IAM, our union partners,” Atkinson emphasized. “It’s apprenticeship and training, so it qualifies for new and existing employees to secure career growth opportunities in their trades.”

Atkinson added Voith has invested heavily in technology improvements, manufacturing equipment and state-of-the-art machining sets. He described them as large milling machines for steel components.