By Timothy Gardner
WASHINGTON (Reuters) -The Trump administration said on Thursday it will audit some $15 billion in grants to power grid and manufacturing supply chain projects awarded during the Biden administration.
President Donald Trump has championed domestic production of oil, natural gas and coal while halting construction of an offshore wind farm and taking steps to ease regulations on fossil fuels. The Republican Trump administration last week proposed cutting billions of dollars in funding for projects including renewable energy and electric car chargers.
The DOE “has been hard at work reviewing the billions of dollars that were rushed out the door, particularly in the final days of the Biden administration, and what we have found is concerning,” Energy Secretary Chris Wright said.
Democratic former President Joe Biden’s Energy Department awarded billions of dollars in grants from the offices of grid deployment and manufacturing and energy supply chains.
The DOE will review materials including information companies had submitted in award applications and will ask companies for further information.
“If it is determined that projects do not meet Standards, DOE may modify the project or, DOE in its discretion, may terminate the project based on the outcome of DOE’s evaluation, as allowed by law,” said a memorandum issued by Wright.
“Any reputable business would have a process in place for evaluating spending and investments before money goes out the door, and the American people deserve no less from their federal government,” Wright said.
Bridget Bartol, who was a DOE deputy chief of staff during the Biden administration, said the move was harmful to projects that will increase energy supply. She said it seems the administration is trying to find a legally justifiable way to cancel projects it disagrees with.
“The fact is awarded projects are extremely well vetted on a financial and technical basis,” Bartol said. “The vast majority of projects likely under review are aimed at building a stronger U.S. industrial base, increasing electrons and building secure infrastructure.”
The Department of Energy said it has begun requesting additional information to review the awards and is prioritizing large-scale commercial projects. The audit is in its initial phase and the Energy Department said the process may extend to other DOE program offices, which could mean putting billions of dollars worth of grants for other projects up for review.
(Reporting by Timothy Gardner; Editing by Leslie Adler)
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