Court Rules Trump DOE Violated the Constitution When It Cancelled Clean Energy Funding in Specific States

(Washington, D.C. – January 12, 2026) The U.S. District Court of the District of Columbia ruled today that the Trump administration violated the Constitution’s equal protection requirements when it cancelled millions of dollars in federal grants for clean, affordable energy and transportation projects based on the states in which the grantees were located. The projects would save American families money, reduce air pollution and protect people’s health.

“Defendants freely admit that they made grant-termination decisions primarily — if not exclusively — based on whether the awardee resided in a state whose citizens voted for President Trump in 2024 … Defendants offer no explanation for how their purposeful segregation of grantees based on their electoral support for President Trump rationally advances their stated government interest,” the court’s decision states. “Plaintiffs … put it best:  ‘There’s no federal funding exception to the Equal Protection Clause.’” (Opinion, pages 10, 12, 13)

The City of St. Paul, Elevate Energy, Environmental Defense Fund, Interstate Renewable Energy Council, Plug In America, and the Southeast Community Organization, filed a lawsuit after they lost grants, or partnered with groups that lost grants, because the administration targeted the states in which they were located. The lawsuit challenged the cancellation of those Congressionally appropriated Department of Energy grants for reasons the administration clearly and publicly stated were to punish certain states. On October 1st, U.S. Office of Management and Budget Director Russel Vought announced the 16 states where cancellations would occur. The next day, more details emerged showing $7.5 billion in cancelled grants and awards from 315 projects – every single one of which was to a grantee located in a state that voted for the Democratic candidate in the 2024 election and with two Senators who caucus with the Democratic party. 

The coalition lawsuit argued that the administration’s action violated the Due Process Clause of the Fifth Amendment – which guarantees Americans equal protection under the law. Today the court agreed.

QUOTES

“The court recognized that the Trump Department of Energy vindictively canceled projects for clean affordable energy that just happened to be in states disfavored by the Trump administration, in violation of the bedrock Constitutional guarantee that all people in all states have equal protection under the law. The administration’s damaging actions violated the U.S. Constitution, foundational American values, and basic decency, and it imposed high costs on the American people who rely on clean affordable energy for their pocketbooks and for healthier lives.” – Vickie Patton, General Counsel, Environmental Defense Fund

“The court ruling in favor of Elevate is a step toward keeping clean energy affordable and advancing initiatives nationwide. By protecting these grants, we can continue to create jobs, lower energy costs, and expand access to clean energy, bringing us closer to a cleaner, stronger, and more sustainable future. This decision is for the communities across the country who should not have to choose between paying their energy bills and feeding their families. Affordable energy should be a reality for everyone, and the restoration of these grants is an important step toward making that possible.” – Dr. Anne Evens, CEO, Elevate Energy

"IREC is thrilled by this decision. We and our partner organizations provide critically important, data-driven programs that cut red tape, provide affordable energy choices, and expand American energy dominance nationally. Our work is serious, technically innovative, and serves communities in all states. We look forward to continuing this work now that the court has ruled in our favor." - Chris Nichols Interim CEO, Interstate Renewable Energy Council

"This ruling makes clear that no community should be punished for its politics. The administration’s cancellation of clean energy grants harmed families who rely on affordable, healthy energy. The court’s decision underscores a simple truth: every resident deserves dignity, safety, and equal protection under the law.” — Ianni Houmas, Executive Director, Southeast Community Organization

“Plug In America is relieved by the court’s decision. We look forward to continuing our important work of educating drivers and dealers about the benefits of electric vehicles. During this current affordability crisis, consumers need choices that help reduce their household transportation costs, reduce unhealthy pollution, and eliminate our reliance on foreign oil.” – Joel Levin, Executive Director, Plug In America