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Republicans once embraced ‘green banks.’ Trump is trying to raid them

Summary

EPA Administrator Lee Zeldin is attempting to seize $20 billion allocated for the Greenhouse Gas Reduction Fund, a Biden-era clean energy loan program designed to finance renewable energy projects in under served communities. Zeldin claims the funds, held by Citibank, were improperly distributed before Biden left office. However, green banks have historically received bipartisan support, with similar programs operating in states like Connecticut and Nevada. The Trump administration’s attempt to claw back the funds has sparked legal uncertainty, with a top Justice Department prosecutor resigning rather than ordering a freeze. Critics argue the move threatens clean energy investments, including solar farms and efficiency upgrades, particularly in low-income and rural areas. The administration’s actions align with broader Republican efforts to dismantle federal climate initiatives, despite evidence that these funds attract private investment and reduce the need for future government spending on climate mitigation.

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