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Home»LA Times

Trump’s Department of Energy aims to cut budgets in California and other blue states

By April 1, 2025 LA Times No Comments5 Mins Read
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The Trump administration’s efforts to dismantle environmental protection and rewind nationwide progress towards clean energy disproportionately target California and other blue states, internal documents show.

As early as this week, the Department of Energy can withdraw funds from hundreds of projects. Much of it has been strengthened by President Biden’s bipartisan infrastructure law, directed towards climate-friendly initiatives such as solar power, heat pumps, battery storage and renewable fuels, according to leaked lists reviewed by time of day.

The cuts could include up to 262 projects in the DOE’s Energy Efficiency and Renewable Energy office, 80% of which are based on states that did not go to Trump in the 2024 presidential election.

The Chopping Block also has almost 20 projects in the office of Clean Energy Demonstration. This includes major national initiatives known as the Regional Clean Hydrogen Hub (H2HUBS) Program.

These cuts do not apply equally either. Of the seven states and regions selected to participate in the $7 billion federal hydrogen project, four sets are primarily in democratic regions.

Cutlist hydrogen incubators include California hubs. A hub in the Middle Atlantic Ocean, Pennsylvania, Delaware and New Jersey. A hub in the Pacific Northwest of Oregon, Washington and Montana. A hub in the Midwest of Illinois, Indiana and Michigan.

Meanwhile, hydrogen hubs in the red state and region are safe, according to the list, which includes large Texas hubs. Heartland hubs in Minnesota, North Dakota and South Dakota. Appalachia Hubs in Ohio, West Virginia and Pennsylvania.

Department of Energy officials did not immediately respond to requests for comment.

California was one of 33 applicants for the competitive initiative, which launched in 2021 and ultimately selected seven “hubs” to develop and test a variety of hydrogen sources.

The California Hub, known as Arches or Alliance for Renewable Clean Hydrogen Energy Systems, was awarded $1.2 billion in federal funds, with plans to bring another $11.2 billion from private investors.

However, it now faces cuts from Trump’s DOE, despite the fact that Hub was the highest scoring applicant of all the federal award winners, according to sources familiar with the issue.

A House Science Committee Democrat who agreed to talk about the background said the findings indicate that the cuts are inherently partisan and ideological. This is a trend to maintain other actions from the Trump administration, which has repeatedly targeted environmental programs in California and other democratic regions over the last few weeks.

In fact, considering that Texas hydrogen hubs received the same amount of federal funds ($1.2 billion) just like California, but the former is not on the cut list, it seems cost is not the only factor. The two state projects were the most expensive of the hubs, ranging from around $750 million to $1.2 billion.

DOE’s total energy efficiency and renewable energy offices exceed $905 million, with approximately $735 million being supplied by the Red State, according to Times analysis.

The insider said the percentage doesn’t reflect the overall clean energy investments by red and blue states, saying Republican states such as Texas (Clean Energy Juggernaut) have far fewer cuts from their offices. According to documents reviewed by The Times, there are only eight Texas projects in chopping blocks, compared to 53 in California.

House Scientific Committee staff warned that the leaked lists represent snapshots in time and that plans could be changed before the administration makes an official announcement.

Already, some Republican representatives and private industry leaders have said they have managed to stop certain projects from being cancelled. So far, none of their democratic counterparts could do the same, they said.

Reductions could have considerable implications for the country’s energy future.

Seven hydrogen hubs were collectively expected to produce 3 million tonnes of hydrogen each year. This reduces 25 million tonnes of carbon dioxide emissions, or about 5.5 million gas-powered vehicles.

Each of the seven hubs experimented with a variety of hydrogen sources, with California focusing on producing hydrogen from renewable energy and biomass alone, while the other hubs worked in renewable sources such as natural gas, nuclear, wind and solar.

An arched official said it could take weeks to make the situation more clear.

“Arch is working with partners to establish a safe, reliable and competitive hydrogen ecosystem, creating hundreds of thousands of good paying jobs and bringing significant health and economic benefits to Californians.” “There’s nothing more to share at this point.”

Hydrogen is not without controversy either. Critics have expressed concern that hydrogen production is water- and energy-intensive and potentially dangerous and expensive for transportation.

Supporters say they fill important gaps that cannot be covered by electrification alone, especially for heavy industries such as manufacturing and transportation.

Arch plans to fund at least 37 small projects in and around California, including efforts to decarbonise the Port of Los Angeles, and plans to install more than 60 hydrogen fueling stations around the state.

The status of these projects remains unknown.

The president, who received a record-breaking donation from a fossil fuel company during the campaign, aims to describe him as “environmental extremists, madmen, extremists and thugs” in recent weeks, instead thwarting California’s efforts to increase coal production, increase oil drilling and move to electric vehicles.

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