The U.S. Department of Energy (DOE) has announced the termination of 321 financial awards, which supported 223 projects, resulting in a savings of about $7.56 billion for taxpayers. According to the DOE, the decision followed an individualized financial review that found these projects did not sufficiently advance the nation’s energy needs, were not economically viable, and would not provide a positive return on taxpayer investment.
The canceled awards were distributed by several DOE offices: Clean Energy Demonstrations (OCED), Energy Efficiency and Renewable Energy (EERE), Grid Deployment (GDO), Manufacturing and Energy Supply Chains (MESC), Advanced Research Projects Agency-Energy (ARPA-E), and Fossil Energy (FE).
Secretary Wright stated, “On day one, the Energy Department began the critical task of reviewing billions of dollars in financial awards, many rushed through in the final months of the Biden administration with inadequate documentation by any reasonable business standard. President Trump promised to protect taxpayer dollars and expand America’s supply of affordable, reliable, and secure energy. Today’s cancellation’s deliver on that commitment. Rest assured, the Energy Department will continue reviewing awards to ensure that every dollar works for the American people.”
Of those terminated awards, 26%—valued at over $3.1 billion—were granted between Election Day and Inauguration Day.
In May 2025, Secretary Wright issued a memorandum titled “Ensuring Responsibility for Financial Assistance,” which set new guidelines for evaluating financial awards. The policy allows program offices to request additional information from awardees and requires case-by-case reviews to prevent waste and safeguard national security interests.
Through this process, DOE determined that these projects did not meet standards for economic or energy security necessary for continued funding.
Award recipients have 30 days to appeal a termination decision. Some projects affected by this announcement have already started that process.
