EPA chief Lee Zeldin defends freezing $20B in climate grants, citing alleged conflicts

U.S. Environmental Protection Agency Administrator Lee Zeldin on Monday defended his decision to halt $20 billion in climate funding, accusing media and courts of ignoring evidence of misconduct among grant recipients.

Jean Chemnick reports for E&E News.

In short:

Lee Zeldin accused nonprofit climate grantees of conflicts of interest, mismanagement, and being unqualified, and has moved to cancel their awards despite federal judges finding insufficient evidence of wrongdoing.
A D.C. federal judge ordered EPA and Citibank to temporarily release some frozen funds to the nonprofits, citing a lack of "adequate evidence" from the agency, but that order was quickly stayed pending appeal.
Six of the eight impacted nonprofits are suing the EPA, and a decision on whether they can access funds for ongoing work is expected soon from the appellate court.

Key quote:

“Agencies do not have unlimited authority to further a president’s agenda.”

— Judge Mary McElroy, U.S. District Court for Rhode Island

Why this matters:

The Greenhouse Gas Reduction Fund was created to support renewable energy and climate resilience projects, especially in underserved communities. Halting nearly $20 billion in grants delays critical efforts to transition to clean energy, improve public health, and reduce emissions. At stake are programs that provide low-cost financing for zero-emissions buildings and transportation — initiatives that could help shield communities from rising energy costs and climate impacts. The legal battles also expose how changes in federal leadership can disrupt multibillion-dollar programs, undermining the stability and continuity needed for long-term climate planning. With courts now weighing whether the EPA acted within its authority or overstepped, the outcome will shape how environmental policy is implemented and challenged in future administrations.

For more: Trump EPA’s fraud claims stall in court as green bank funding freeze drags on

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