The U.S. Department of Energy has announced significant savings for taxpayers, totaling over $3 billion. Secretary of Energy Chris Wright revealed that the department will save approximately $3.7 billion by terminating 24 awards from the Office of Clean Energy Demonstrations (OCED). These projects were deemed ineffective and not financially viable after a thorough review.
Wright explained that the decision to cancel these awards was made because the projects did not meet the energy needs of Americans and would not provide a good return on investment for taxpayer dollars. Nearly 70% of the projects that were cut had been signed between Election Day and January 20th. Most of these projects focused on carbon capture and decarbonization efforts.
This move is part of a broader initiative to reduce waste across government agencies, even as the Department of Government Efficiency (DOGE) continues its work to save taxpayers money. Wright emphasized the difference in approach between the current Biden administration and the previous Trump administration. He noted that the Trump administration did not conduct adequate financial reviews before approving numerous projects, leading to significant waste.
Wright stated, "Today, we are acting in the best interest of the American people by cancelling these 24 awards." The Department of Energy’s efforts are part of a larger campaign that has saved taxpayers a total of $175 billion, averaging about $1,087 per taxpayer. Currently, the Department of Energy ranks 16th among federal agencies in generating taxpayer savings.
This announcement marks a significant step in ensuring that taxpayer money is used wisely and effectively, focusing on projects that will truly benefit the American public.