EPA Administrator Lee Zeldin announced the permanent termination of the $7 billion program, known as "Solar for Everyone," initiated under former President Joe Biden.
"The EPA no longer has the authority to administer the program or the funds allocated to sustain this pointless endeavor," Zeldin said in a video posted on X on 5/8. He added that this action saves American taxpayers $7 billion.
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EPA Administrator Lee Zeldin at the signing of a memorandum of understanding between the US and Mexico in Mexico City, Mexico, on 24/7. Photo: Reuters |
EPA Administrator Lee Zeldin at the signing of a memorandum of understanding between the US and Mexico in Mexico City, Mexico, on 24/7. Photo: Reuters
The $7 billion was largely allocated in 2024 under the Biden administration, awarded to 60 nonprofits and states. At the time, the EPA stated that the program would help nearly 1 million households across the US reduce electricity bills and greenhouse gas emissions.
According to the public policy research firm Atlas, while the majority of the $7 billion was awarded, only $53 million has been spent. This week, some recipients stated their projects were in the planning stages.
Stephanie Bosh, senior vice president of the Solar Energy Industries Association, argued that the EPA lacks the legal authority to terminate funding already approved by Congress.
Zeldin cited the Fiscal Responsibility Act, also known as the "OBBBA", signed by President Donald Trump last month, which eliminated the program's funding source.
The law repealed the $27 billion Greenhouse Gas Reduction Fund, approved under the 2022 Inflation Reduction Act. This included $20 billion for community development projects to promote renewable energy and $7 billion for the solar panel installation program.
However, grant recipients disagree with this argument. They maintain that the majority of the funds have already been disbursed and are not affected by the new law.
"If the administration continues to cancel grants from the Solar for Everyone program, we will sue them," said Kym Meyer, chief legal officer of the Southern Environmental Law Center.
The program's cancellation was anticipated. Since taking office in January, Trump has cut federal support for solar and wind power, calling these renewable energy sources expensive and unreliable.
Bao Bao (according to AP, Reuters)