UNR-led lithium, EV initiative gets funds from $504M Tech Hubs program

Nevada’s “lithium loop” just got recharged in the latest round of funding from a federal program for technology hubs.

The Nevada Tech Hub program, which focuses on lithium batteries and electric vehicles, was allocated $21 million by the Department of Commerce’s Economic Development Administration as part of the Biden administration’s regional Tech Hubs program. The University of Nevada, Reno, is designated as the lead agency for the Nevada Tech Hub initiative.

The Nevada initiative was one of 12 regional programs to receive funding during the latest round. Other recipients include regional tech hubs in Montana, Colorado, New Mexico, Florida and New York.

Economy, national security cited as key drivers for Tech Hubs program

The Biden administration identified Nevada’s lithium loop as a key cog in its efforts to boost domestic production and manufacturing of crucial technologies.

The administration cited economic benefits and national security as drivers for the decision, especially after the supply chain disruptions from the COVID-19 pandemic.

It started with the CHIPS Act, which aims to increase production of semiconductors within the United States. Manufacturing is currently dominated by Taiwan and South Korea. Last year, the federal government also designated 31 regional tech hubs in the country to receive funding support.

“Through the Tech Hubs program, we are maintaining our competitive edge by advancing America’s leadership in commercializing critical emerging tech sectors,” said U.S. Secretary of Commerce Gina Raimondo.

“And we’re leveraging the diverse talent and resources that currently exist across the country to achieve this goal.”

What is Nevada's 'lithium loop'?

In Nevada, the lithium loop refers to a full production cycle involving lithium and batteries.

The cycle includes having lithium mined or sourced within the state, and then used in manufacturing battery components by companies that operate in Nevada such as Panasonic, Tesla and Dragonfly Energy, for example.

The last part of the loop would be recycling battery components to put back materials into the system. Recycling is already being done in-state by companies such as Redwood Materials, which received a $2 billion federal loan last year from the Department of Energy.

So far, the federal government has set aside a half-billion dollars in total to be allocated to the various regional tech hubs chosen for the program. The designated areas include a mix of rural, tribal, industrial and disadvantaged communities, according to Vice President Kamala Harris.

“Today’s announcement that the Department of Commerce is investing $504 million in Regional Technology and Innovation Hubs across the country will ensure that the benefits of the industries of the future from artificial intelligence and clean energy, to biotechnology and more are shared with communities that have been overlooked for far too long,” Harris said in a statement.

“These Tech Hubs will give regions across our nation the resources and opportunities necessary to lead in the economy of tomorrow while creating good-paying jobs for American workers.”

This article originally appeared on Reno Gazette Journal: UNR-led lithium, EV initiative gets funds from $504M Tech Hubs program