Trump Administration Considers $12 Billion Clean Energy Funding Cut Amid Government Shutdown

The TRUMP administration is weighing a $12 billion reduction in clean energy funding, targeting projects like carbon removal and clean hydrogen, according to Semafor. This follows last week's cancellation of nearly $8 billion for similar initiatives. "If confirmed, the elimination of the megaton carbon removal projects will be a massive setback for American climate and industrial policy," said Carbon180 Executive Director Erin Burns.

The proposed cuts coincide with the seventh day of a government shutdown, which President Trump is leveraging to advance spending reductions. Federal workers face potential permanent job cuts and withheld backpay if the shutdown persists. Since May, the administration has identified nearly $24 billion in Department of Energy funding for potential cuts, though implementation remains pending.