NOW PLAYING
In a reversal, a federal appeals court has once again blocked the Trump administration from rescinding billions in climate funds issued under the Biden administration’s signature Inflation Reduction Act (IRA).
The D.C. Circuit Court of Appeals reinstated part of a previous preliminary injunction that temporarily bars the Environmental Protection Agency (EPA) from clawing back billions in “green bank” funding for climate-friendly projects.
Tuesday’s ruling came down from the entire bench of the circuit court. Previously, a smaller panel of appellate judges had canceled the injunction. It’s now back in place.
When he took office, EPA Administrator Lee Zeldin said he would recoup the $20 billion doled out by the Biden administration. The funds would go to green banks that would have awarded them to projects that aim to mitigate climate change or reduce pollution.
The Trump EPA, however, said that it terminated the program and sought to get the money back.
After the latest ruling, an EPA spokesperson said the agency was “reviewing the judgment and considering next steps.”
The spokesperson did not address The Hill’s request for a status update on the funds since the preliminary injunction was previously axed nearly a year ago.
The panel of judges said they were reinstating part of the injunction because the EPA’s move “likely contravened the IRA’s mandatory appropriation” since the decision was “based solely on a policy disagreement.”
However, some of the judges disagreed, saying the organizations that sued to get their money back did not show why the injunction was needed after Republicans repealed the section of the IRA as part of their “Big, Beautiful Bill.”
The Republican bill repealed “unobligated” funds from the program.
Zach Schonfeld contributed.
Add as preferred source on Google Tags Biden administration D.C. Circuit Court of Appeals Environmental Protection Agency EPA Green Bank Green banks Green energy funds Green funds Inflation Reduction Act IRA Joe Biden Lee Zeldin Lee Zeldin Trump administrationCopyright 2026 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Comments: Link copiedMore Energy & Environment News
See All
Energy & Environment Abbott requires new data centers to provide more information before they can hook up to Texas’s grid by Rachel Frazin 1 hour ago Energy & Environment / 1 hour ago 
