President Trump cancels $583 million in Illinois energy projects

by Linda

Amid a funding stalemate in Congress and a federal government shutdown, President Donald Trump’s planned termination of nearly $8 billion for energy projects primarily in states that didn’t vote for him includes $583 million in cuts for projects in Illinois.

Among those set to lose tens of millions of dollars in anticipated funding are power giant Exelon, the University of Illinois, the nonprofit Gas Technology Institute, which is based in Des Plaines, and a handful of other entities in Illinois, according to congressional Democrats who released the full list when Trump’s Energy Department and Office of Management and Budget initially did not.

The investments would have helped with electricity affordability, clean energy jobs and grid reliability, Illinois Clean Jobs Coalition spokesperson Hannah Flath said in an emailed statement.

“This time, this attack isn’t just on clean energy — it’s also an attack on democracy,” the statement from the Illinois climate and equity group said, noting the terminations targeted blue states.

Trump pauses $2.1B for Chicago infrastructure projects, leveraging shutdown to pressure Democrats

The director of the OMB, Russell Vought, made the announcement shortly after Congress forced the federal government into a shutdown. On social media, he called the funds that were targeted to be cut “Green New Scam funding to fuel the Left’s climate agenda,” suggesting the choices in funding cuts were highly political.

Illinois Democratic U.S. Sen. Tammy Duckworth said in a statement that the Trump administration aimed to eliminate 33 awards in Illinois, totaling more than $673 million. However, $90 million of that had already been spent, meaning the overall cut was approximately $583 million.

In addition to clean energy jobs and grid reliability, the federal funds were also slated to assist with transportation electrification projects, solar energy, “green” buildings and a range of other energy initiatives, according to a document released by Duckworth’s office.

In her statement, Duckworth said she thought “there is no legal justification whatsoever” for the funding cuts.

“This abrupt cancellation not only jeopardizes local and regional economic growth but also sends a concerning message to researchers, entrepreneurs, unions and communities nationwide who rely on the federal government to act in good faith and in the national interest,” Duckworth said.

The U.S. Department of Energy said on X that it chopped the hundreds of obligated awards nationwide “following a thorough, individualized financial review.”

These “projects did not adequately advance the nation’s energy needs, were not economically viable, and would not provide a positive return on investment of taxpayer dollars,” the department said.

Recipients can appeal the decision, the department said.

Contacted about the funding trims, most recipients whose grants were terminated didn’t respond to a request for comment or declined to weigh in on the expected loss. As of late Thursday — about 24 hours after the Energy Department posted about the cuts on X — the University of Illinois had not “received any official correspondence or notice from the Department of Energy” about the terminations, University of Illinois Urbana-Champaign spokesperson Patrick Wade said in an email.

Some of the grants appeared to have elements aimed toward actively promoting diverse workforces or social equity initiatives, efforts from which the Trump administration has tried to pull back. A $1.1 million grant to Cook County, less than a third of which has been spent, looked to “Strengthen Solar Installation Opportunities for Business Owners and Workers from Historically-Excluded Communities,” according to a news release from the time DOE awarded the grant in 2023, under President Joe Biden’s administration.

A $20 million award to the California-based materials company Furno for more sustainable cement production in Chicago was expected to provide “quality employment to underserved communities, including talent from disadvantaged communities,” according to a 2024 news release. None of that grant had been spent at the time it was terminated, according to the document from Duckworth’s office.

Since Trump entered office in January, his administration has targeted spending on environmentally friendly projects and called such efforts a “scam.” He called climate change a “con job” during a recent speech at the United Nations. At several points he has also clawed back money, attempted mass firings and ended programs in a push to cut costs, breaking norms and angering Democrats and organizations that rely on consistent federal funding.

Before Congress failed to approve a funding plan to keep the federal government operating, Trump threatened that he’d use the shutdown to punish political enemies, which would include Illinois, a state that has resoundingly rejected his three bids for the presidency.

The hardest hit in Illinois this week appeared to be the nonprofit GTI, which was set to have more than $400 million in awards terminated, according to the list from Duckworth. Those awards were intended for carbon capture technology projects and the study of methane emissions, among other initiatives, the document said.

The awards also included more than $30 million for carbon capture and other projects at the University of Illinois, as well as $100 million for Exelon and $50 million for its subsidiary, Commonwealth Edison, for electric grid modernization in Rockford and Chicago, according to Duckworth’s list.

Some other recipients of smaller terminated awards in Illinois included the American Lung Association and Northwestern University. One project for hydrogen use in heavy machinery by construction equipment manufacturer Caterpillar was slated to occur in Chillicothe, in Peoria County, which is part of Republican U.S. Rep. Darin LaHood’s district, while the rest are affiliated with Democratic districts, according to a list from House Appropriations Committee Democrats.

One top-ranking Illinois Senate member, who is active on energy-related issues at the state Capitol, said what the Trump administration is doing “is a mistake.”

“If you’re an advocate of domestic energy production, which the administration claims to be, this would be the last thing you would be doing,” said Democratic state Sen. Bill Cunningham of Chicago. “This is cutting off domestic energy production.”

Chicago Tribune’s Jeremy Gorner contributed.

Originally Published: October 2, 2025 at 7:45 PM CDT

You may also like

Leave a Comment