US States Sue Trump Administration Over $7 Billion Solar Grant Cancellation

Nearly two dozen U.S. states have filed lawsuits against the Trump administration for canceling a $7 billion federal program designed to expand solar energy access in low-income communities. The Solar for All initiative, created under the Environmental Protection Agency (EPA), aimed to fund solar projects across the country before being scrapped in August by EPA Administrator Lee Zeldin.

California Attorney General Rob Bonta and Arizona Attorney General Kris Mayes announced the legal actions on Thursday, calling the move unlawful and harmful to vulnerable households. Arizona, which was set to receive $156 million, said the cancellation could raise energy bills for 11,000 low-income families by 20%. California stands to lose $250 million in committed funds.

“The Trump administration is trying to hold us in the past, tethered to fossil fuels,” Bonta said, accusing the White House of undermining clean energy progress.

The lawsuits, filed in the Court of Federal Claims and federal court in Washington state, seek damages and reinstatement of the program. The coalition of 23 Democratic-led states argues that the cuts violate congressional intent and will disproportionately impact disadvantaged communities, including Indigenous tribes like Arizona’s Hopi Nation.

The legal challenge follows a similar lawsuit by solar companies and labor unions filed earlier this month, intensifying resistance to Trump’s rollback of renewable energy programs.