By Kyla Russell
The Environmental Protection Agency is threatening to pull over $20 billion in grant money from clean energy projects, including $117 million in Indiana.
Last year, the Indiana Community Action Association says they were awarded the grant money under the Biden administration. Now, under the Trump administration, they say their unreceived funding is frozen and their account suspended.
“It is really the only funding source that the coalition has,” Program Director at Solar Opportunities Indiana Alison Becker said.
The money was included in the Greenhouse Gas Reduction Fund, approved by Congress under the 2022 Inflation Reduction Act.
The fund offered grants to various groups, including the ICAA.
Part of their money was set to be used to fund the Solar for All program, which aims to install lasting solar panels in communities across the state, with a special focus on low income areas and disadvantaged communities.
In Indianapolis, some of the money would have gone to transforming an old landfill on the southeast side into a solar farm, providing an alternative energy source for nearby houses.
“We have a goal to to reach all 92 counties to provide solar opportunities to income qualified individuals, but without the grant money, none of that will be able to proceed,” Becker said.
Putting an end to the funding won’t only put a stop to the work.
Former EPA Deputy Administrator Janet McCabe says the freeze will have several ripple effects, including driving up the price of power.
“We’re going to see businesses think, ‘Hmm. Is it really a good idea for me to invest, and maybe plan to hire more people, when I’m not sure whether the federal government is actually going to deliver on the commitment that it made?’” McCabe said.
Without the funding, several jobs that already exist or would be created would be lost, too.
The new EPA Administrator, Lee Zeldin, says fraud is the reason they plan to pull contracts for the many projects.
But, McCabe said there were multiple safeguards in place to ensure the money was not used in bad faith.
“It would actually be pretty difficult to put in an application that would make it through the multiple levels of expert review, if you weren’t legitimately qualified to do the work that you needed to do,” McCabe said. “This was a true competition.”
McCabe said the changes only disrupt workers and everyday Hoosiers, especially when many of the contracts for projects have already been signed on the dotted line.
“It’s just not good for the country, it’s not good for the people who live in this country,” McCabe said. “It’s not good for businesses in this country. It’s not good for our energy policy.”
“We made a commitment to see it through,” Becker said. “The government made a commitment to us that they were going to fund it. This has the ability to impact, not just the people who received the services, but to transform the market.”