An internal watchdog in the U.S. Department of Energy will investigate the Trump administration's termination of $7.6 billion in grants for hundreds of clean energy projects across 16 states that voted for former Vice President Kamala Harris in the 2024 presidential election.
The move is particularly welcomed by Democrats who argue that such cuts, reflecting broader attacks on climate programs from President Donald Trump, threaten thousands of manufacturing and construction jobs, while potentially increasing energy costs for Americans.
In a letter to Congress, Sarah Nelson, assistant inspector general for the Energy Department's Office of Inspector General, noted that the audit will evaluate whether the canceled funding truly aligned with established departmental criteria.
Nelson stated, This work will help ensure that these activities are conducted consistently with applicable laws, regulations, and Departmental policies and procedures.
The Department of Energy has yet to provide a comment regarding this investigation.
Back in October, the Energy Department announced the cancellation of 321 awards across 223 projects, stating these did not sufficiently advance national energy needs, lacked economic viability, and wouldn't yield a positive return on taxpayer investment.
White House budget director Russell Vought indicated that the terminated grants affected states including California, Colorado, Connecticut, Delaware, and others, all of which supported Harris.
In response, over two dozen Democratic House members from California, spearheaded by Senators Adam Schiff and Alex Padilla, requested a formal investigation into the cancellations, describing the cuts as an example of political bias that could be considered unlawful.
According to Schiff, this investigation is essential to address what he characterizes as “clear political targeting intended to punish blue states.”
Among the notable funding cuts is over $1 billion earmarked for a hydrogen hub project in California.
Given the bipartisan infrastructure legislation under former President Biden that initially funded these projects, the Democrats argue that the Department lacked the authority to cancel such grants and assert that the actions will significantly harm Americans.
