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3w ago

EPA Ends $7 Billion Solar for All Grants

Legal challenges have emerged following July’s repeal of the Greenhouse Gas Reduction Fund under Trump’s tax-and-spending law.

Environmental Protection Agency director Lee Zeldin arrives before President Donald Trump speaks during an AI summit at the Andrew W. Mellon Auditorium, Wednesday, July 23, 2025, in Washington. (AP Photo/Julia Demaree Nikhinson)
California officials say the Trump administration’s decision to claw back $250 million in funding for solar projects is an “unlawful termination” that will raise the costs of community solar and battery storage projects in the state. 
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Theodore Tanczuk, left, and Brayan Santos, right, of solar installer YellowLite, work to put panels on a home in Lakewood, Ohio, Wednesday, April 16, 2025. (AP Photo/Sue Ogrocki)

Overview

  • EPA Administrator Lee Zeldin cited lack of statutory authority after the Greenhouse Gas Reduction Fund was eliminated in the July tax-and-spending bill.
  • Of the $7 billion awarded, just $53 million has been spent and most projects remain in planning stages rather than active construction.
  • A federal judge blocked the EPA’s earlier freeze of contracts in April and grant recipients have filed new lawsuits to prevent rescission of awarded funds.
  • Over $400 million earmarked for Texas solar initiatives and $62.45 million for Connecticut projects hang in the balance, threatening shovel-ready clean-energy installations.
  • Lawmakers and environmental groups have denounced the termination as illegal and warned it will drive up energy costs while undermining climate action.