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Energy Department Cancels $7.56 Billion in Clean-Energy Awards After White House Post

The move is tied to a wider $26 billion funding freeze announced during the shutdown.

Overview

  • DOE said it terminated 321 financial awards supporting 223 projects across six offices, including Clean Energy Demonstrations, Energy Efficiency and Renewable Energy, Grid Deployment, Manufacturing and Energy Supply Chains, ARPA‑E, and Fossil Energy.
  • Officials cited poor economic returns and limited advancement of national energy needs, noting that 26% of the canceled awards were issued between Election Day and Inauguration Day.
  • Award recipients have 30 days to appeal the cancellations, with the department saying some projects have already begun that process.
  • The department’s announcement followed White House budget director Russell Vought’s post that nearly $8 billion in climate-related funding would be canceled in 16 states, including California and New York.
  • Reporting indicated the cuts include proposed hydrogen hubs in California and the Pacific Northwest, and California Governor Gavin Newsom criticized the loss of a $1.2 billion commitment to his state’s hub.