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20+ States Sue EPA Over Canceled $7 Billion Solar Program

More Than 20 States Sue EPA Over Canceled $7 Billion Solar Program

A coalition of over 20 states has filed a lawsuit against the Environmental Protection Agency (EPA) following its decision to cancel the $7 billion “Solar For All” program. The initiative, established under the 2022 Inflation Reduction Act, aimed to provide solar power access to nearly one million low-income households.

Key Takeaways

  • Over 20 states are suing the EPA over cancellation of the $7 billion “Solar For All” program
  • The program was designed to provide solar access to nearly one million low-income households
  • EPA withdrew approximately 90% of grant funds in August
  • Washington state alone stands to lose about $156 million in funding

Legal Challenge Details

The lawsuit, filed in the Western District of Washington, alleges the EPA “unilaterally and illegally terminated” the program. States argue this violates the Administrative Procedures Act and constitutes an overreach of constitutional authority, since Congress had already approved the funding.

“Congress passed a solar energy program to help make electricity costs more affordable, but the administration is ignoring the law and focused on the conspiracy theory that climate change is a hoax,” said Washington State Attorney General Nick Brown.

Multiple Legal Challenges

This lawsuit represents one part of a broader legal strategy against the administration’s clean energy cutbacks. Earlier this month, nonprofits and solar installers filed a similar challenge, while another complaint was filed Wednesday in the U.S. Court of Federal Claims over cancellation of individual grant agreements.

A third lawsuit filed in Rhode Island by solar companies, homeowners, nonprofits and unions claims the EPA’s action would cause nearly a million people to lose access to affordable solar power and result in the loss of “hundreds of thousands of good-paying, high-quality jobs.”

The legal battle centers on whether the administration can rescind funds that had already been allocated to grantees under the Inflation Reduction Act.

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