Trump administration cuts energy projects, freezes New York funding

The Trump administration has announced plans to terminate dozens of clean energy projects and freeze billions of dollars for major projects in New York, intensifying a standoff with Democrats over a US government shutdown.

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Travellers walk through a TSA security checkpoint following a government shutdown at the Austin-Bergstrom International Airport on October 01, 2025, in Austin, Texas.

US media outlets described the moves announced by the energy and transportation departments as part of the administration’s efforts to pressure Democrats in Congress to agree on a deal to end the shutdown.

US President Donald Trump had raced to enact hard-right policies even before the shutdown began after midnight on Tuesday, threatening mass firings and to slash government departments, and blaming Democrats for Congress’ failure to resolve a funding standoff.

The Department of Energy announced on Thursday "the termination of 321 financial awards supporting 223 projects, resulting in a savings of approximately $7.56 billion for American taxpayers.