Trump Administration Cancels Nearly $8 Billion in Climate Awards

The Trump administration announced it will cancel nearly $8 billion in clean-energy and climate-related funding affecting projects in 16 largely Democratic states, with OMB Director Russell Vought calling the cuts "Green New Scam" funding. The Energy Department said it terminated 321 financial awards tied to 223 projects — saving about $7.5–7.6 billion — after reviews found many were not economically viable or did not adequately advance U.S. energy needs, and that roughly 26% of the awards were issued during the Biden administration's lame-duck period. Recipients have appeal rights and the department said it will provide further details as remaining reviews conclude. The announcements accompany an earlier freeze of roughly $18 billion in major New York City infrastructure projects and are part of a broader administration effort to shift federal support toward fossil fuels. Critics called the moves politically motivated and potentially unlawful, while the administration defended them as fiscal oversight and said the funding cuts — alongside threatened federal layoffs — are being used as leverage in negotiations to end the government shutdown, with bipartisan talks and appeals now underway.