Trump Cancels Biden Clean Energy Loans After DOE Review
The Trump cancels Biden clean energy loans policy was announced Friday by the U.S. Department of Energy. Officials said nearly $30 billion in loans approved during the administration of Joe Biden have been canceled.
Additionally, the department is reviewing another $53 billion in energy loans. The review focuses on projects approved through the agency’s loan programs.
Energy Secretary Chris Wright said the review examined the department’s entire loan portfolio. He said the goal was to ensure responsible investment of taxpayer funds.
Department of Energy Audit Targets Loan Programs
According to Wright, a large share of loans was approved during the final months of the Biden administration. He said the pace of approvals exceeded the previous fifteen years of disbursements.
The review is part of an internal restructuring within the Energy Department. Officials said the goal is to redirect funding toward energy projects considered more reliable.
The department has reorganized the program under a new office called the Office of Energy Dominance Financing. This office replaces the previous loan structure.
Wind and Solar Loans Eliminated
The department said about $9.5 billion in wind and solar project loans were eliminated. Officials said these projects will be replaced with other energy investments.
Those investments include natural gas expansion and small modular nuclear reactors. Additionally, the plan includes upgrades to older power plants.
Wright said the changes aim to make energy more affordable. He also said the shift will reduce dependence on foreign supply chains.
Administration Cites Energy Security Goals
The administration said the policy reflects priorities set by Donald Trump. Officials described the move as part of a broader effort to support American energy production.
Wright said the cancellations fulfill a promise to protect taxpayer dollars. He also said the changes support affordable and reliable energy supplies.
Meanwhile, officials said previous funding programs were approved too quickly. They argued that some projects lacked proper oversight.
Funding From Infrastructure and Climate Laws Reviewed
The review also includes funding created under two major laws. These include the Bipartisan Infrastructure Law and the Inflation Reduction Act.
More than $25 billion in Bipartisan Infrastructure Law energy funding remained unspent. Meanwhile, $4.3 billion from the Inflation Reduction Act also remained unused.
Another $11 billion from the climate law was rescinded under the One Big Beautiful Bill Act. That legislation redirected unused climate subsidies toward other energy projects.
Additional Clean Energy Awards Canceled
The department said it has canceled or suspended more than 340 clean energy awards since May 2025. Those awards totaled more than $11 billion.
The canceled programs include several industrial demonstration grants. Some Hydrogen Hub projects in California, Oregon, and Minnesota were also affected.
Officials said these cancellations represent 17 percent of Bipartisan Infrastructure Law awards. They also represent 7 percent of Inflation Reduction Act awards.
Industrial Demonstration Program Also Reduced
The department confirmed additional cuts within the Industrial Demonstration Program. This initiative supported green manufacturing projects.
Officials said 18 of the program’s 36 approved awards were canceled. Those cancellations totaled nearly $3 billion.
Wright argued the programs did not produce measurable results. However, he said the department remains focused on energy security and economic value.
New Energy Financing Priorities Announced
Under the new structure, the Energy Dominance Financing office holds $289 billion in loan authority. Officials say the funds will support nuclear energy and carbon capture projects.
The program will also prioritize modern natural gas infrastructure. Meanwhile, officials plan to invest in rural energy development and mineral extraction.
In October, the department also canceled $8 billion in green energy grants. That decision halted 223 projects across 16 states.
