EPA sued over canceled $7 billion solar program

Several groups and nonprofit organizations filed a lawsuit Monday against the Environmental Protection Agency over the canceling of a $7 billion Solar for All program intended to make solar power accessible to more than 900,000 lower-income Americans.

They say the Trump administration’s termination of the program was illegal and they want a federal judge to direct the EPA to reinstate it. The program is affiliated with another $20 billion in green funding also terminated under President Donald Trump that EPA Administrator Lee Zeldin had characterized as a fraudulent scheme fraught with waste.

The EPA said in an email Monday that it does not comment on litigation.

The lawsuit is the latest legal action against the administration amid its assault on clean energy policy and related funding and programs across the country. Trump has moved to boost production of fossil fuels such as oil, natural gas and coal.

The lawsuit filed in Rhode Island by the Rhode Island AFL-CIO labor organization and others — including the public interest law center Rhode Island Center for Justice and the nonprofit Solar United Neighbors — detailed the importance of the program for local workforces and lower-income communities looking for access to clean-energy project funding.

Patrick Crowley, president of the Rhode Island AFL-CIO, said Monday that the program’s termination kills jobs and will drive up electricity prices.

The Solar for All money was rescinded after Trump’s massive tax and spending law passed in Congress in July. Zeldin said in a statement on social media at the time, “the bottom line is this: EPA no longer has the statutory authority to administer the program or the appropriated funds to keep this boondoggle alive.”

The groups argued in the lawsuit that the law only revoked climate grants not yet awarded by the EPA and that these solar funds were already awarded.

“The Trump administration’s rollback of the Solar for All program is a shameless attempt to prop up fossil fuel companies at the expense of families,” said Kate Sinding Daly, senior vice president for law and policy at the Conservation Law Foundation, one of the nonprofit legal advocacy groups representing the plaintiffs.

“This program would provide families with low incomes access to clean, affordable solar power: energy that lowers bills, improves air quality, and keeps people safer during extreme heat,” she added in a statement.

The lawsuit cites previous EPA estimates that the program would have saved recipients about $400 each year on electricity bills and cumulatively reduced or avoided greenhouse gas emissions by over 30 million metric tons of carbon dioxide equivalent.

The $7 billion Solar for All program was part of the $27 billion “green bank,” formally known as the Greenhouse Gas Reduction Fund. It was established in the Democratic-backed climate law passed in 2022 under former President Joe Biden.

The other $20 billion, canceled by the Trump administration in March, was slated for eight community development banks and nonprofit organizations for tens of thousands of projects to combat the effects of climate change, such as residential energy efficiency projects to larger-scale investments such as community cooling.

Groups have also sued over the cancelation of that money — with a federal judge saying they must have access to some of the funds — though recently, an appeals court ruled that federal officials can move forward with its termination.

The Trump administration has targeted a host of programs and policies dedicated to clean energy.

Just last week, the administration canceled $7.6 billion in grants for hundreds of climate-friendly projects across 16 states. It has also interfered with nearly complete offshore wind developments, moved to rescind the crucial ‘endangerment finding’ that allows climate regulation, is looking to end greenhouse gas emissions reporting requirements for large polluters, and taken a slew of other deregulatory measures.