MANCHESTER - Gov. John Lynch and the Executive Council today approved $470,000 in funding from the Greenhouse Gas Emissions Reduction Fund for Fraser Paper mill in Gorham, which will help the company reduce its operating costs and become more competitive.

The funding is part of Gov. Lynch’s Green Jobs Initiative, which is aimed at creating green jobs by helping families, businesses and taxpayers save on energy costs.

The fund was created through the Regional Greenhouse Gas Initiative, which New Hampshire joined last year with the support of Gov. Lynch.

“With this funding, Fraser will be able to significantly reduce its energy costs and put those savings to use in other areas,” Gov. Lynch said. “We have been working with company officials for over a year to assist them with the rising cost of energy. I am pleased we are able to use the proceeds from RGGI to benefit the company and its workers.”

The funds will be used for five separate projects that will reuse existing hot air and hot water, thereby reducing the mill’s use of oil by 729,000 gallons per year. The projects will also reduce the mill’s fresh water intake by 54 million gallons per year and reduce greenhouse gas emissions by 8,600 metric tons.