The Energy Department’s cancellation of $7.5 billion in Biden-era awards for clean energy projects is poised to cause significant job losses and disruptions, state leaders have said, even as internal documents suggest that the agency may be contemplating deeper cuts in the months ahead.
The agency’s termination of more than two dozen grants in New York State alone would threaten more than 1,000 jobs and nearly $500 million in investments in the state, according to figures compiled by the office of Gov. Kathy Hochul, a Democrat, and reviewed by The New York Times.
These figures represent the first official tally of how the funding cuts, which so far have largely targeted Democratic-led states, would affect New York and its growing clean energy sector. They come as President Trump appears to be seeking to maximize the pain of the government shutdown for his political opponents, including Senator Chuck Schumer of New York, the Democratic leader, and Representative Hakeem Jeffries of New York, the House minority leader.
At the same time, many lawmakers and companies fear that the Energy Department could soon cancel even more funding, including for projects in Republican-led states. An internal document circulating among lobbyists and lawmakers suggests that the agency is considering terminating an additional $12 billion in Biden-era awards, including funding for two large projects in Louisiana and Texas that aimed to remove carbon dioxide from the atmosphere.
Technology that removes carbon dioxide, a main driver of global warming, is supported by some oil and gas companies that want to use that captured gas to extract more crude from mature oil fields. One of the federal hubs would have been located in the Louisiana district of Representative Mike Johnson, the Republican House speaker.
The Energy Department said on Wednesday it had not made any final decisions beyond the initial $7.5 billion in cancellations announced last week.
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The post Trump’s Energy Cuts Punished Mostly Blue States. Red States Might Be Next. appeared first on New York Times.
