Federal government scraps $7-billion financial aid program for rooftop solar installations
The U.S. Environmental Protection Agency (EPA) has announced the elimination of the $7-billion Solar for All grant program, a decision that is expected to result in nearly a million families paying hundreds of dollars more each year for their electricity bill[1][4][6].
The Solar for All program, aimed at supporting solar energy projects and reducing electricity costs for low and middle-income households, was canceled following the elimination of its statutory authority by legislation signed by former President Donald Trump[1][3][5]. The EPA Administrator, Lee Zeldin, described the program as a "boondoggle" with a significant amount of money going to middlemen[7].
However, the termination of the program is seen as a significant setback to the clean energy transition and a blow to low-income households. The program was estimated to save up to $400 annually on energy bills for low-income families by facilitating access to solar power and battery storage[1][3]. Its termination means these households lose this financial relief opportunity.
The program supported over 900,000 households and was expected to reduce toxic pollution by more than 30 million metric tons and create over 200,000 jobs[1]. Canceling the program disrupts these environmental and economic goals.
The move threatens ongoing projects with $7 billion in grants rescinded, affecting 60 state agencies, nonprofits, and tribes, some of which had already started solar installations. This likely will trigger legal challenges from grant recipients who relied on the funding[2][3].
Officials with California's Solar for All program have urged the EPA to reverse the program's termination, stating that the state was already well underway in implementing its grant after the funding was made available in March[8]. California, known for its progressive clean energy policies, would lose federal support for programs aimed at expanding solar access to disadvantaged communities.
The California Public Utilities Commission, the California Energy Commission, and the California Labor and Workforce Development Agency have stated that revoking the Solar for All funding undermines their legal system and destabilizes ongoing projects[9]. The Environmental Protection Network, composed of more than 600 former EPA employees, has described the decision to terminate the Solar for All program as an "abrupt and arbitrary" betrayal of public health, environmental justice, and economic opportunity[7].
Sen. Ed Markey (D-Mass.) has denounced the EPA's decision to cancel the Solar for All program as illegal, stating that the funding for the program had already been fully obligated and contracts for all recipients were signed[7]. The Eland facility in Kern County, California, a large solar and battery power plant, is now supplying 7% of Los Angeles' power[10].
If not terminated, the Solar for All program was projected to create more than 200,000 jobs and eliminate more than 30 million metric tons of air pollution, according to the nonprofit Climate Power[11]. The program received a $250-million award for solar initiatives statewide[12].
In California, two nonprofits, the Community Power Coalition and GRID Alternatives, each had $250-million awards for separate efforts to develop community solar and multifamily solar projects across several states, including California[2]. The Solar for All program was expected to deliver residential solar projects to over 900,000 households nationwide[13].
The California Supreme Court has ruled in favor of environmental groups challenging the Public Utilities Commission's decision to slash rooftop solar incentives, a move that could have potentially impacted the Solar for All program[14]. The termination of the Solar for All program significantly hampers efforts to lower energy bills for low-income households and slows the transition to clean energy in California and nationwide by withdrawing critical funding and support for solar projects targeted at disadvantaged communities[1][2][3][5].
- The EPA's decision to eliminate the Solar for All grant program is expected to result in nearly a million families paying hundreds of dollars more each year on their electricity bills.
- The program, aimed at supporting solar energy projects and reducing electricity costs for low and middle-income households, was canceled due to the elimination of its statutory authority.
- The termination of the Solar for All program is seen as a significant setback to the clean energy transition and a blow to low-income households, who were estimated to save up to $400 annually on energy bills.
- The program supported over 900,000 households and was expected to reduce toxic pollution by more than 30 million metric tons and create over 200,000 jobs.
- The move to terminate the program disrupts these environmental and economic goals, threatening ongoing projects with $7 billion in grants rescinded.
- The California Public Utilities Commission, the California Energy Commission, and the California Labor and Workforce Development Agency have stated that revoking the Solar for All funding undermines their legal system and destabilizes ongoing projects.
- Sen. Ed Markey (D-Mass.) has denounced the EPA's decision to cancel the Solar for All program as illegal, stating that the funding for the program had already been fully obligated.
- The termination of the Solar for All program significantly hampers efforts to lower energy bills for low-income households and slows the transition to clean energy in California and nationwide by withdrawing critical funding and support for solar projects targeted at disadvantaged communities.
