Trump administration halts $20 billion for greenhouse gas reduction, citing misuse concerns

In a controversial decision, the Trump administration has terminated $20 billion in funding allocated for greenhouse gas reduction projects, a move that has sparked criticism from climate advocates and Democratic lawmakers.

The funds, originally approved under the Biden administration, were intended to support clean energy and pollution-reduction initiatives, particularly in disadvantaged communities.

The Environmental Protection Agency (EPA), led by Administrator Lee Zeldin, announced on Tuesday that it had withdrawn the funding from the Greenhouse Gas Reduction Fund, citing concerns over potential fraud, waste, and abuse. However, the agency did not provide specific details regarding these concerns.

The U.S. Justice Department and the FBI have been tasked with reviewing the program. The EPA stated that while it intends to use the funds “within the law” and under “enhanced controls,” it has not specified where the money will be redirected.

“EPA will be an exceptional steward of taxpayer dollars dedicated to our core mission of protecting human health and the environment, not a frivolous spender in the name of ‘climate equity,’” said Zeldin, defending the decision.

The $20 billion was originally allocated through the 2022 Inflation Reduction Act under President Joe Biden. Since Donald Trump returned to office, his administration has taken steps to freeze climate-related and environmental justice funding, leading to legal challenges.

Over the weekend, the Climate United Fund, an advocacy group, filed a lawsuit against the EPA and Citibank, which was involved in distributing the funds. The lawsuit claims that the administration’s decision violates a legally binding contractual agreement, preventing the organisation and seven other recipients from accessing the money.