U.S. to Scrap $13 Billion in Green Energy Funds, Sparks Backlash

The U.S. Department of Energy announced Wednesday it plans to cancel more than $13 billion in subsidies pledged under the Biden administration to support wind, solar, battery storage, and electric vehicles. Officials framed the move as a return of taxpayer dollars, saying it reflects the Trump administration’s focus on “affordable, reliable, and secure” domestic energy production.

The decision drew immediate criticism, most notably from California Governor Gavin Newsom, who warned the U.S. was ceding clean energy leadership to China. “President Xi … I think he’s going to give Trump a bear hug when he arrives,” Newsom quipped at a climate event.

The announcement came just a day after President Trump dismissed climate change at the United Nations as “the greatest con job,” while touting record oil and gas production. Energy Secretary Chris Wright defended the cuts, arguing climate spending has produced “very little positive impact.”

The rollback comes despite data showing U.S. clean energy jobs grew three times faster than the broader workforce in 2024. Critics warn the funding cuts could stall this momentum and weaken U.S. competitiveness in renewable technologies.