Trump slashes $18 billion in renewable energy funding

President Trump's FY2026 budget proposes cutting $2.572 billion (74% reduction) from the Department of Energy's Office of Energy Efficiency and Renewable Energy.

On Oct. 2, 2025, the Energy Department announced termination of 321 financial awards totaling $7.56 billion. An additional 327 projects appeared on a leaked list targeted for termination.

The National Renewable Energy Laboratory laid off 114 employees on May 5, 2025 (3% of its 3,675-person workforce) after receiving stop-work orders from the Department of Energy.

DOE's congressional budget justification for 2026 proposes dropping NREL's total budget from $686 million to $299 million. National lab officials are considering laying off more than 3,000 scientists and staff.

OMB Director Russell Vought announced the Trump administration was canceling nearly $8 billion in 'Green New Scam funding' and noted all 16 affected states voted for Kamala Harris.

The Trump administration ended federal tax credits for solar and wind projects early, stopped construction on major offshore wind farms, and withdrew federal waters from new offshore wind development.

The Energy Department added 'climate change,' 'green,' 'emissions,' 'decarbonization,' and 'clean energy' to its list of words to avoid at the Office of Energy Efficiency and Renewable Energy.