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Fed judge blocks EPA over $7B solar program

cnhinews.com · last updated

BOSTON — A federal judge has blocked the Trump administration from clawing back $7 billion from Massachusetts and other states for a solar energy program for low income energy consumers

The ruling by U.S. District Court Judge Mary McElroy in Rhode Island sided with green groups who claimed the Environmental Protection Agency violated federal law and the Administrative Procedures Act when it terminated the Solar for All program, approved by Congress in 2023 as part of the Biden administration’s Inflation Reduction Act.

The ruling stems from a lawsuit filed last year by a coalition of environmental groups, solar companies and labor unions, who said in court filings that the move to eliminate the program impacted their operations and hurt them financially by cutting off grants and funding that had already been awarded. 

“Clean, affordable power like solar shouldn’t be a closed-door luxury,” Alex St. Pierre, vice president for environmental justice at Conservation Law Foundation — one of several groups that sued to block the changes — said in a statement. “Solar for All was built to open that door, and EPA tried to slam it shut.”

“Nearly every family is looking for ways to cut their energy bill,” he said. “These dollars should go where Congress intended: toward lower energy bills, less climate pollution, good jobs, and cleaner air.”

A similar lawsuit was filed by Massachusetts and two dozen other Democratic-led states claiming government “overreach” and alleging the EPA lacks the authority to claw back federal money previously approved by Congress for the solar program.

Last year, EPA Administrator Lee Zeldin announced the program’s cancellation, calling it a “boondoggle” that’s “rife with grift” from unscrupulous companies taking cuts from the federally funded grants.

Massachusetts was awarded $156 million from the grant program, which state officials say would have helped create good-paying jobs, lower energy bills for tens of thousands of low-income consumers and add another 125 megawatts of solar power to the state’s clean-energy mix.

Under the program, the state issued grants to lending institutions that fund solar and battery projects, as well as to installers and project developers who do the work.

The Biden administration estimated the program would produce over $350 million in annual savings on electric bills for low-income households, while cutting greenhouse gas emissions by over 30 million metric tons of carbon dioxide equivalent, roughly the equivalent of taking 7 million passenger vehicles off the nation’s roadways.

President Donald Trump has promised to end the federal government’s support for wind, solar and other renewable energy sources that he claims are too costly for consumers.

Under Zeldin, a former New York congressman, the EPA has sidelined clean energy initiatives in an effort to bolster fossil fuels such as coal, oil and natural gas as it pursues American “energy dominance” in the global market. Many of those efforts are tied up in court challenges.

Despite dwindling federal support, Democratic Gov. Maura Healey is vowing to press on with efforts to diversify the state’s energy mix with more solar power using the state’s net metering program and other initiatives.

Last year, Healey and state environmental officials rolled out an updated solar incentive program, Solar Massachusetts Renewable Target 3.0, which they claimed will bring more low-cost energy into the state and reduce electricity costs by $300 million.

Christian M. Wade covers Massachusetts state government and politics for CNHI News and North of Boston Media Group’s newspapers and websites. Email him at cwade@cnhinews.com.