WASHINGTON (AP) — The Trump administration is cancelling $7.6 billion in grants that supported hundreds of clean energy projects in 16 states, all of which voted for Democrat Kamala Harris in last year’s presidential election.
The cuts were announced in a social media post late Wednesday by Russell Vought, the White House budget director: “Nearly $8 billion in Green New Scam funding to fuel the Left’s climate agenda is being cancelled.”
The move comes as President Donald Trump threatens cuts and firings in his fight with congressional Democrats over the federal government shutdown.
According to the environmental nonprofit Natural Resources Defense Council, these cuts are likely to affect battery plants, hydrogen technology projects, upgrades to the electric grid, and carbon-capture efforts, among many others.
The Energy Department stated that 223 projects were terminated after a review determined that they did not adequately advance the nation's energy needs or were not economically viable. However, officials did not provide details about which projects would be cut.
The cuts include $1.2 billion for California's hydrogen hub, which aims to accelerate hydrogen technology and production. This project, supported by a $10 billion private sector commitment, indicates that canceling the Alliance for Renewable Clean Hydrogen Energy Systems could threaten over 200,000 jobs.
California Democratic Governor Gavin Newsom emphasized that clean hydrogen is critical for California's energy future, forecasting significant job creation and health cost savings. Several Democrats have criticized the cuts as vindictive and shortsighted.
The cuts have raised alarms regarding the continuation of clean energy initiatives, with Democrats and environmental organizations predicting increased energy costs and potential market instability.
Energy Secretary Chris Wright defended the cuts, stating they align with Trump's promise to protect taxpayer dollars and expand America's energy supply, while the Trump administration has consistently targeted climate programs for rollback.
The canceled projects span across California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Massachusetts, Minnesota, New Hampshire, New Jersey, New Mexico, New York, Oregon, Vermont, and Washington state.
This latest budget decision reflects long-standing tensions between the Trump administration and environmental advocacy groups, raising the stakes in ongoing debates over the future of clean energy in the United States.