The US Department of Energy (DoE) has cancelled $7.6 billion in funding for 223 energy projects, saying they failed to deliver value to taxpayers. Officials said the projects, many approved during the Biden administration, would not advance national energy needs or provide economic returns.
Energy Secretary Chris Wright said the review was one of the administration’s first actions. “On day one, the Energy Department began the critical task of reviewing billions of dollars in financial awards, many rushed through in the final months of the Biden administration with inadequate documentation by any reasonable business standard,” Wright told reporters.
The DoE said 26% of the cancelled projects were approved between Election Day in November 2024 and Inauguration Day in January 2025. “President Trump promised to protect taxpayer dollars and expand America’s supply of affordable, reliable, and secure energy. Today’s cancellations deliver on that commitment,” Wright added.
This move follows the scrapping earlier this year of 24 projects worth $3.7 billion, including Exxon’s low-carbon hydrogen proposal in Texas. At the same time, a government shutdown that began yesterday has halted new wind and solar approvals, though offshore oil and gas leases in the Gulf of Mexico and Alaska are continuing with carryover funds. The Bureau of Ocean Energy Management said 70% of its staff are furloughed but “priority conventional energy projects” remain active.
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