Trump admin cuts $500M for Colorado climate change initiatives
Add Axios as your preferred source to
see more of our stories on Google.
Energy Department headquarters in Washington. Photo: Kevin Carter/Getty Images
Colorado is set to lose $500 million in federal dollars to address climate change after the Trump administration announced the cancellation of "funding to fuel the Left's climate agenda."
Why it matters: Rescinding the grants is aimed at gutting the Colorado Energy Office.
- The Polis administration needs the money to meet its goals for reducing greenhouse gas pollution.
The big picture: The directive from White House budget chief Russ Vought and the Energy Department — led by Denver energy company executive Chris Wright — specifically targets 223 projects in 16 Democratic states.
Zoom in: In Colorado, at least 34 projects worth more than a half-billion dollars are being canceled. That includes money awarded to the state's energy office, universities and energy companies, Colorado officials said.
- The energy office will lose $5 million in funds designed to help residents and businesses reduce their carbon footprint to meet modern building codes.
- Other grants were set aside for oil and gas methane reduction projects, electrical grid resilience and subsidies for low-income communities.
What they're saying: The federal energy agency "determined that these projects did not adequately advance the nation's energy needs, were not economically viable, and would not provide a positive return on investment of taxpayer dollars," the agency wrote in a statement.
The other side: U.S. Sen. Michael Bennet, a Democrat, told reporters Wednesday that the administration's efforts are "an unconstitutional exercise of power by the administration" and part of a troubling trend that "targets specific states for politics."
What we're watching: In other areas, the Polis administration is stepping up to help keep climate initiatives alive.
- The state is increasing subsidies for low-income buyers of electric vehicles to $9,000, up from $6,000, when an old gasoline car is exchanged.
- It comes after a $7,500 federal tax credit was canceled as part of President Trump's "big, beautiful bill."