In a surprise move, President Biden Friday invoked a Cold War law to funnel taxpayer funds to the domestic manufacture of electric heat pumps as an alternative to gas powered residential furnaces.

The Department of Energy announced jointly with the White House that the federal government will award “historic” $169 millions for nine projects at 15 locations across the country in order to accelerate the manufacturing of electric heat pumps. This significant funding was only possible because Biden used the 1950 Defense Production Act to increase the domestic production of green technologies.

Jennifer Granholm, Energy Secretary, said that putting more American-made heat pumps on the marketplace will allow families and businesses to save money by using efficient heating and cooling technologies. These investments will create thousands high-quality manufacturing jobs that pay well and strengthen America’s supply chain. They will also help to create healthier indoor environments through the use of home-grown clean technology.

John Podesta is the White House’s clean energy czar. He said that the Defense Production Act funds awarded today for heat pump manufacture show President Biden treating climate change like the crisis it really is. These awards will boost American competitiveness, increase domestic manufacturing and create jobs that pay well.

Ali Zaidi is Biden’s climate advisor. He said that the president “is using his wartime emergency power under the Defense Production Act in order to turbocharge U.S. manufacture of clean technologies and improve our energy security.”

The DOE announced on Friday that it would send millions of dollars in funding to multinational companies such as Copeland International, Honeywell International and Mitsubishi Electric, which all have billion-dollar revenues. The projects will help advance the manufacturing of heat pump technology for industrial, commercial, and residential applications.

This is corporate welfare at its worst. We’re told that it’s all good because of climate change. Ben Lieberman is a senior fellow with the Competitive Enterprise Institute and told Fox News Digital that he thought it was ridiculous.

Lieberman said, “This may be the most absurd of all the Biden administration’s declared climate emergencies.” “Heat pumps are not in short supply — but not all homeowners want them. The consumers should make their own decisions. The government cannot tilt the balance to favor one energy source or another. “That’s what’s going on here.”

The DOE’s action on Friday comes just two months after it issued new regulations aimed at traditional gas-powered home furnaces, as part of its broad efforts to reduce greenhouse gas emissions and climate change.

The finalized DOE regulations, set to take effect in 2028 require that furnaces achieve a fuel utilization efficiency of 95% annually. This means manufacturers will only be allowed sell furnaces which convert 95% of fuel to heat within 6 years. The standard AFUE of a residential heater is currently 80%.

The regulations will largely remove non-condensing furnaces from the market due to their stringent AFUE requirements. These are less efficient but also cheaper. Consumers who choose to replace their noncondensing gas furnace with a new condensing unit after the rule comes into effect will face high installation costs.

Karen Harbert, President and CEO of the American Gas Association, told Fox News Digital that energy security was a priority. “We are disappointed that the Defense Production Act is being used to promote a policy agenda contrary to our country’s strong energy position. The Defense Production Act was intended to be a vital tool to advance national security against serious external threats.”

She continued, “The increased use of natural gases has contributed to 60 percent of the reduction in CO2 emissions from the electrical grid.” This vital tool to reduce emissions and improve energy system resilience shouldn’t be unfairly undermined by misuse of the Defense Production Act.

The Congressional Research Service reports that the DPA was passed during Cold War and gives the President broad authority to influence the domestic industry in the “interest of national defense”. Invoking this law allows the president to access hundreds of millions of taxpayer dollars for a specific national security purpose.

Biden had previously invoked DPA in order to speed up domestic critical mineral production, and to pause tariffs for Chinese solar panels imports. He claimed that climate change was a national crisis.

The DOE, in addition to consumer furnaces has released new standards over the past few months for a variety of appliances, including gas stoves. clothes washers. refrigerators. and air conditioners. According to the DOE’s past and planned appliance regulation, Americans will save $570 billion over the next thirty years and reduce greenhouse gases by more than 2,4 billion metric tonnes.