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The U.S. Department of Energy announced it is canceling nearly $30 billion in financing from its energy loan program, previously expanded under the Biden administration. The move follows a review of deals approved during President Biden’s tenure.

The Loan Programs Office, now renamed the Office of Energy Dominance Financing, also plans to revise an additional $53 billion in funding. According to the department, approximately $9.5 billion in loans for wind and solar projects has already been eliminated, with funding set to be redirected toward natural gas and nuclear projects.

Energy Secretary Chris Wright criticized the pace of loan approvals under the previous administration, stating that “more dollars were rushed out the door in the final months of the Biden Administration than had been disbursed in over 15 years.”

The office, which grew into a $400 billion green bank under Biden, previously financed projects including Tesla Inc.’s Model S sedan and early-stage nuclear reactors by Southern Co. While the program faced scrutiny during the Trump administration, it is now being leveraged for projects in nuclear energy, geothermal power, and critical minerals.

The department did not provide specifics on which additional projects will be affected. The program still retains $289 billion in remaining loan authority, which the administration plans to allocate according to its new energy priorities.

Source: latimes.com