The state energy department has spent the past year planning a massive effort to expand access to solar energy across Virginia. Officials planned to start doling out money to people who qualify later this year.
But the Trump administration last week announced it’s canceling the grant funding the solar program, putting it on indefinite hold.
The U.S. Environmental Protection Agency awarded Virginia $156 million last year through Solar for All, a $7 billion program launched under the Inflation Reduction Act, President Joe Biden’s signature climate legislation.
In a social media post last week, EPA Administrator Lee Zeldin said the Big Beautiful Bill, recently passed by Congress, eliminates the Greenhouse Gas Reduction Fund, which included Solar for All.
“EPA no longer has the statutory authority to administer the program or the appropriated funds to keep this boondoggle alive,” Zeldin said.
Several national environmental groups and grant recipients say they plan to challenge the move in court, because the money was already considered obligated.
Virginia Energy confirmed in an email it has received notice of the termination.
All eligible costs incurred by the state during the planning phase are covered under the award’s initial terms, said spokesperson Richard Borean.
“We remain excited about the more than $500 million in federal grants we continue to implement” to add more electricity to the grid, Borean said.
Soon after the federal announcement, Virginia Energy inactivated the program webpage.
About half of Virginia households were expected to qualify for Solar For All, which sought to reduce energy bills by making solar power more affordable for low to moderate-income families.
That included helping more than 15,000 households install rooftop panels or buy into community shared solar projects.
In a press release announcing the award last year, Virginia Energy touted the economic impact, expecting the local solar industry would add about 1,000 jobs.
The Solar for All termination adds to a long list of environmental grants Trump has canceled since taking office. Hampton Roads organizations have lost about $50 million that would have funded projects such as dam improvements in Portsmouth, resilience upgrades at Historic Jamestown and neighborhood flood mitigation in Hampton.
Residential solar companies are also racing to install rooftop systems before federal tax credits nixed by the Big Beautiful Bill expire.
