The U.S. Department of Energy announced on Friday (30th) that it has canceled 24 clean energy projects approved during Biden's presidency, totaling over $3.7 billion, including ExxonMobil's (XOM-US) refinery facility in Baytown, Texas. The current Trump administration is reviewing public funding grants and loans awarded to emerging technology projects during the Biden administration.

The Trump administration is currently focused on achieving record-high oil and gas production while gradually dismantling Biden's policies on climate and clean energy. Among the canceled projects, ExxonMobil's Baytown plant was originally scheduled to receive $332 million for a decarbonization plan aimed at replacing natural gas with hydrogen to produce ethylene, a key raw material for textiles and plastic resins.

Other canceled projects include a $500 million subsidy for Heidelberg Materials in Louisiana and a $375 million subsidy for Eastman Chemical Company in Longview, Texas. The U.S. Department of Energy noted that nearly 70% of the grant agreements were signed between November 5, 2024 (the U.S. election day) and January 20, 2025 (the end of Biden's term). The mentioned companies have not yet responded to media inquiries.

The carbon capture plan was originally seen as an important solution for mitigating climate change, capable of removing carbon dioxide from the air or pollution sources and storing it underground. It is also sometimes injected into old oil fields to enhance oil production. According to a list obtained by Reuters in April, about 24 of the clean energy projects potentially cut by the Trump administration had previously received funding support from the Department of Energy's Office of Clean Energy Demonstration (OCED), including four carbon capture demonstration projects totaling $309 million and three advanced carbon capture and transportation technology projects in California, Texas, and North Dakota amounting to $890 million.

This wave of canceled projects reflects a clear shift in energy policy under the Trump administration, focusing on fossil fuel extraction and production instead of the research and promotion of clean energy.