Sierra Club Urges Commerce Department to Hold Micron's CHIPS Act Award Accountable to Clean Energy Commitment

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Ada Recinos, Deputy Press Secretary, Federal Communications, ada.recinos@sierraclub.org (Pacific Time)

Cindy Carr, Senior Press Secretary, cindy.carr@sierraclub.org (Eastern Time)

Syracuse, NY– Sierra Club, along with labor unions, social justice organizations, and community groups organizing with the CHIPS Communities United coalition, is urging Micron, a designated recipient of $6.14 billion in public funding from the U.S. Department of Commerce, to follow through with the commitments to labor, sustainability, and initial community benefits outlined in the preliminary agreement. Micron must be held accountable to its stated sustainability plans for 100% clean electricity and deepen community engagement to ensure that public funds allocated under the CHIPS Act benefit communities and advance sustainable practices.

The $6.14B federal award, which President Biden is personally announcing today, is the keystone of Micron’s ambitious plan to mobilize $100 billion over the next twenty years into advanced chipmaking in Central New York. The investment is projected to create 9,000 jobs at the chip fabs, as well as 40,000 jobs in construction and across the semiconductor ecosystem.

Commitments crafted in Community Benefits Agreements and in negotiation with the US Department of Commerce must go beyond workforce concerns. Due to New York’s complementary Green CHIPS law, Micron is required to power facilities with 100% renewable energy, to meet fenceline-emissions targets, to install on-site clean energy assets to reduce strain on the local grid, and to build fabs with green steel and cement. The Commerce Department has a valuable opportunity to hold Micron and other companies vying for federal awards to these commitments through the agency’s due diligence process.

“Thanks to President Biden and Leader Schumer’s commitment to rejuvenating domestic manufacturing, a few billion dollars in federal subsidy is bringing a $100 billion investment in high-tech chipmaking to New York,” said Roger Downs, Conservation Director at Sierra Club Atlantic Chapter. “Chips are essential to the clean energy economy, but without protections, they are not clean for workers, communities, or the environment. Micron must negotiate a Community Benefits Agreement with impacted residents, like Sierra Club’s Central-Northern New York Group. We ask Leader Schumer and Governor Hochul to urge the US Department of Commerce not to finalize funding until Micron makes clear and actionable commitments to 100% clean electricity use and safeguards for Lake Ontario.”

“The Commerce Department’s roughly $6 billion award to Micron is a watershed for the future of clean energy under the CHIPS Law.” said Harry Manin, Deputy Legislative Director of Industrial Policy & Trade at Sierra Club. “New York’s Green CHIPS Program can grow to be the model for fabs, computing, and data centers nationally, with these industrial electricity offtakers running on clean energy, stabilizing instead of draining local grids, displacing gas infrastructure with green hydrogen, and creating markets for clean building materials. By holding Micron accountable to the state program, the Commerce Department’s implementation of the federal law will extend climate benefits across Micron’s $100 billion investment pledge and set a high bar for competitors similarly hungry for federal awards.”

About the Sierra Club

The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.