Key points
- 223 projects dropped in Democrat-led states
- California’s $1.2B hydrogen hub cut
- DOE claims decisions were not political
WASHINGTON: The Trump administration has cancelled $7.6 billion in grants for 223 clean energy projects across 16 Democrat-led states, all of which backed Kamala Harris in last year’s presidential election.
The Department of Energy (DOE) stated on Thursday that these projects, funded through the Office of Clean Energy Demonstrations, Office of Energy Efficiency and Renewable Energy, and others, were dropped after a review found they either lacked economic viability or failed to advance national energy goals, reports AP News.
Although specific projects were not named, the environmental group Natural Resources Defense Council (NRDC) said the cuts would likely affect initiatives such as battery plants, hydrogen technology, electric grid upgrades, and carbon capture.
Official explanation
White House budget director Russell Vought commented online: “to fuel the Left’s climate agenda is being canceled.” The affected states include California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Massachusetts, Minnesota, New Hampshire, New Jersey, New Mexico, New York, Oregon, Vermont, and Washington.
Despite no official explanation on how these states were selected, each has Democrat senators who voted against a Republican short-term funding bill, and all supported Harris.
The cutbacks include up to $1.2 billion for California’s ARCHES hydrogen hub and $1 billion for a similar project in the Pacific Northwest. Hydrogen projects in Texas, West Virginia, Ohio, and Pennsylvania were not affected.
In an interview with One America News, Donald Trump said, “I’m allowed to cut things that never should have been approved in the first place and I will probably do that.”
Punishing political opposition
Democrats condemned the move. Senator Patty Murray called it “a blatant attempt to punish the political opposition,” and California Governor Gavin Newsom warned the cuts could cost over 200,000 jobs, jeopardising $10 billion in private investment.
Senator Alex Padilla called the cancellation “vindictive, shortsighted, and proof this administration is not serious about American energy dominance.”
The DOE said it reviewed grants made post-election, with over a quarter approved between Election Day and Inauguration Day. Energy Secretary Chris Wright insisted the decisions were not political, saying: “These projects will not be restored” and were based on “business decisions.”
Grantees have 30 days to appeal. Last week, the administration also rescinded $13 billion in unspent clean energy funds from the 2022 climate law.
Environmental groups warned the decision would raise energy costs and damage US competitiveness in clean technology.
