Biden Allocates Over $100 Billion in Clean Energy Grants as Term Concludes
As his term nears its end, U.S. President Joe Biden’s administration has distributed more than $100 billion in grants under the Inflation Reduction Act (IRA), a landmark climate law. John Podesta, Senior Advisor for International Climate Policy, highlighted this milestone, emphasizing the administration’s commitment to advancing clean energy initiatives.
“Crossing the milestone of $100 billion awarded shows just how quickly we’re getting these funds out the door and into communities so they can make a real difference for the American people,” Podesta stated in an interview with Reuters.
The grants aim to bolster clean energy deployment nationwide, laying a foundation for sustained progress even as President-elect Donald Trump, a vocal skeptic of climate change policies, prepares to take office. Trump has vowed to rescind unspent IRA funds.
Another senior official from the Biden administration noted that over 80% of available IRA grant funding is expected to be “obligated” by the conclusion of Biden’s term. “When funds are obligated, they are protected,” the official explained. “They are governed by contract law, ensuring these projects proceed regardless of political changes.”
The IRA not only provides grants but also includes a decade-long package of tax incentives for renewable energy projects such as wind and solar installations. Altering these subsidies would require legislative action, making them more difficult to revoke.
Since its inception, the IRA has spurred billions of dollars in renewable energy investments across the United States, with Republican-led states receiving a significant share of the funding. In August, 18 Republican House members appealed to Speaker Mike Johnson, urging him to preserve the law’s incentives, citing potential risks to major economic investments.
Notably, some close allies of Trump have also benefited from IRA provisions supporting carbon capture, sequestration, and clean hydrogen initiatives.
Recent allocations that contributed to the $100 billion milestone include:
- $119 million from the General Services Administration to electrify five federal buildings in the Washington, D.C. area.
- $147 million for the National Oceanic and Atmospheric Administration to enhance climate change-related data collection for fisheries.
- $256 million in grants and loans from the U.S. Department of Agriculture’s Rural Energy for America Program.
The Biden administration’s aggressive funding strategy under the IRA underscores its commitment to climate action and renewable energy, striving to leave a lasting legacy that transcends political transitions.
