The U.S. Court of Appeals for the D.C. Circuit ruled that the Environmental Protection Agency cannot freeze roughly $20 billion in clean energy grants awarded under the Biden administration's Greenhouse Gas Reduction Fund, restoring an injunction that blocks EPA Administrator Lee Zeldin's attempt to terminate the funding. The grants support nonprofit financing programs for renewable energy and emissions reduction projects, while the EPA said it is reviewing the ruling and could appeal to the U.S. Supreme Court.
- A divided en banc D.C. Circuit restored the April 2025 injunction preventing the EPA from terminating the grants.
- The court said the EPA's effort to claw back funds based solely on a policy disagreement likely violated the Inflation Reduction Act.
- The disputed funding comes from the $27 billion Greenhouse Gas Reduction Fund created by the 2022 Inflation Reduction Act.
- The grants support the National Clean Investment Fund, Clean Communities Investment Accelerator, Climate United Fund, Coalition for Green Capital, and other recipients.
- The funds remain held at Citibank while litigation continues, and the EPA said it is evaluating its next legal steps, including a possible Supreme Court appeal.
- Recent lobbying disclosures show Corning ($GLW) spent approximately $220,000 during the latest reporting period on issues including semiconductor manufacturing, energy policy, trade, and supply-chain legislation relevant to domestic clean-energy and advanced manufacturing initiatives. JPMorgan Chase also reported roughly $1.19 million in lobbying covering secure supply chains, banking, and energy-related policy.
Relevant Companies
- Citigroup ($C) – Holds the disputed grant funds while the litigation proceeds.
- Corning ($GLW) – Domestic advanced materials and polysilicon-related manufacturing could be affected by broader federal clean energy and industrial policy.
- JPMorgan Chase ($JPM) – Active lender and financier in clean energy and infrastructure projects that could benefit from continued grant deployment.
Editor’s Note: This is a developing story. This article may be updated as more details become available.
This article contains syndicated content. We have not reviewed, approved, or endorsed the content, and may receive compensation for placement of the content on this site. For more information please view the Barchart Disclosure Policy here.
