OMB Canceled 284 Clean-Energy Grants Based Solely on Blue-State Politics
Updated
Updated · CNN · Jul 25
OMB Canceled 284 Clean-Energy Grants Based Solely on Blue-State Politics
3 articles · Updated · CNN · Jul 25
Summary
A July 15 court filing said the Energy Department recommended canceling more than 600 clean-energy grants, and OMB ultimately terminated 284 of them in October 2025.
DOE said those grants were included solely because recipients were in states Kamala Harris carried in 2024 and that had two senators who caucus with Democrats.
The admission surfaced in a class-action lawsuit brought by University of California researchers seeking to overturn the cuts and restore the funding.
Chuck Schumer, Jamie Raskin, Patty Murray and Marcy Kaptur called the move a corrupt, unconstitutional abuse of federal power aimed at punishing Democratic-led states.
The disclosure adds to broader scrutiny of Trump and OMB Director Russell Vought after earlier fights over $10 billion in blue-state social-service funds and delayed disaster aid.
Did federal officials cancel clean-energy grants without reviewing performance, and what could courts do if funding decisions ignored merit entirely?
Could new federal grant rules make future award cancellations easier, and what protections remain for universities, nonprofits, and energy developers?
$7.6 Billion in Clean Energy Grants Canceled: Legal Battles, Economic Fallout, and the Politicization of Federal Science Funding in 2026
Overview
In late 2025, the Trump administration abruptly canceled or froze over 300 clean energy grants, targeting projects in states that voted Democratic. This move, driven by a new politically staffed review process, caused major economic harm and stalled private investment, as losing federal support made it harder for companies to secure funding. Legal challenges followed, and by mid-2026, federal courts ordered the reinstatement of 18 grants, restoring millions in funding. However, most projects remain in limbo. Meanwhile, a proposed OMB rule would give political appointees broad control over future grant decisions, threatening the stability of scientific research and U.S. climate goals.