An Alternative and Clean Energy (ACE) project is going to invest $500,000 (£325k) to boost clean energy in Clearfield County, Pennsylvania.
Governor Tom Wolf announced the funding which is being provided by the Commonwealth Financing Authority (CFA).
West Branch Area School District will use the grant to install a biomass boiler system in Morris Township.
It will be used to heat both the elementary and secondary school buildings. The current boiler system uses oil for 100% of its heating.
The use of oil will decrease to 20% saving approximately more than 53,000 gallons of oil per year, the CFA claims.
It added the biomass system will burn around 738 tons of locally grown wood per year and provide annual savings of $137,214 (£89k) for the school.
Mr Wolf said: “The project marks advancement for clean energy technologies to once again make Pennsylvania a national energy leader.”