Appeals Court Bars EPA from Effectuating Termination of National Clean Investment Fund Grants
August 4, 2026

Today, the United States Court of Appeals for the District of Columbia Circuit found that the Environmental Protection Agency's (EPA) attempt to terminate Climate United's grant and claw back disbursed funds violated the Inflation Reduction Act. Five judges voted to affirm the District Court's ruling in April 2025 which barred EPA from acting on their March 2025 termination of the grant agreement based solely on a policy disagreement.

In response to the decision, Climate United issued the following statement:

"Today, the DC Circuit Court judges affirmed what we have always known: EPA took actions to unlawfully freeze and dismantle the National Clean Investment Fund grant program. Despite efforts to harm the awardees with false allegations and misinformation, there remains no legal basis for terminating our grant award and clawing back funds that were already disbursed in our bank accounts.

"As hardworking Americans grapple with an affordability crisis, the impacts of the EPA's decisions are far-reaching. This program was designed to lower energy costs, create good jobs, and improve public health. We will continue to pursue every legal avenue available to us to unfreeze funds on behalf of the communities we serve."

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About Climate United  

Climate United is a public-private investment fund that removes financial barriers to clean technologies so every American can benefit from good-paying jobs, lower energy bills, and better public health. The Climate United coalition brings 120 years of collective experience directly managing more than $30 billion in private and institutional capital to unlock economic opportunity in all 50 states and territories. Learn more at ClimateUnited.org.

 

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