The U.S. Environmental Protection Agency (EPA) has awarded 93%, or $38.4 billion, of funding appropriated by the Inflation Reduction Act (IRA), leaving little of President Joe Biden’s signature climate law funds when the next administration steps in Jan. 20.
Add spending from the Bipartisan Infrastructure Law (BIL) enacted in 2021, and the tally rises to nearly $69 billion dispersed by the EPA across the nation in an effort to lower greenhouse gas emissions while creating jobs and helping to bring down energy costs. The figures were released Jan. 13 as part of the agency’s 2024 Investing in America Report.
The report was delivered one week before President-elect Donald Trump returns to office. Concerns are that the Trump administration will follow through on promises to undo parts of the IRA, which passed in August 2022 without Republican support. However, what makes it to the chopping block and whether the Republican-dominated Congress repeal legislation that brought jobs and other benefits to states remains to be seen.
RELATED
Trying to Keep Tabs on the Inflation Reduction Act’s $370B
The report shows that the EPA received more than $100 billion from the BIL and the IRA combined. Unlike IRA funds which were appropriated by Congress upfront, the BIL appropriations were spread across five fiscal years—ending with $12 billion in FY2026 becoming available in October 2025. As of Jan. 6, 88% of the funding for BIL and IRA programs were obligated or awarded with about $9.5 billion left.
“Because of President Biden’s vision and leadership, these funds will be making people healthier and more productive for many years to come,” said EPA Acting Administrator Jane Nishida. “At the same time, we’re proving that investments in public health and the environment can create good-paying jobs, grow the nation’s economy, and advance private investment in clean technologies so that America leads the transition to a clean energy economy.”
The EPA’s Taking Climate Action program included the IRA-backed:
Greenhouse Gas Reduction Fund (GGRF), which the EPA says “mobilizes private capital, expands the clean energy market through solar deployment, develops low and zero-emission real estate (new buildings and retrofits), and electrifies the transportation sector, with financial incentives focused on low income and disadvantaged communities.” All of the GGRF’s $27 billion was allocated to grantees of the $7 billion Solar for All Program; $14 billion National Clean Investment Fund; and the $6 billion Clean Communities Investment Accelerator.
Methane Emissions Reduction Program in partnership with the U.S. Department of Energy. The program aims to lower methane emissions in the oil and gas sector by providing financial support for states to help oil and gas companies eliminate methane emissions from low-producing marginal conventional wells. Funding also goes to small oil and gas operators looking to utilize methane emissions reduction technologies. More than 80% of the program’s $850 million financial and technical assistance funds has been obligated, according to the report, while 99% of the marginal wells part has been obligated.
Climate Pollution Reduction Grants (CPRG) awarded to states, municipalities, tribes and U.S. territories to “develop community-driven solutions to dramatically cut climate pollution, transition key sectors, and position communities to be more resilient and sustainable.” The report showed the entire $250 million appropriated for planning grants was obligated and 96% of the $4.75 billion in implementation grants was obligated.
“Approximately 1 billion metric tons of CO2 equivalent will be removed by 2050 from just three of EPA’s IRA programs—Solar for All, CPRG, and Methane Emission Reduction Program noncompetitive grants,” the EPA said. “These estimated greenhouse gas emission reductions are roughly equivalent to removing the emissions from 260 coal-fired power plants.”
BIL funding made way for the Underground Injection Control grants focused on Class VI wells needed for carbon capture and storage projects. Of the $50 million appropriated to the program, 41% has been obligated. The EPA announced in 2023 more than $48 million in BIL funding for states and tribes to implement UIC Class VI programs. The EPA said it anticipates awarding 80% of the Class VI grants by the end of FY 2025.
In addition to climate programs, BIL and IRA dollars have gone toward low- and zero-emissions vehicles, including school buses, replacing drinking water lines and cleaning up 185 Superfund sites among other initiatives.
“The work for a healthier future continues, and I am deeply grateful for the progress Team EPA has made—and continues to make—to ensure all Americans can have clean air, land, and water,” EPA Administrator Michael Regan said in the report. He left the position Dec. 31. “I have nothing but optimism and faith that EPA will continue to deliver public health and environmental protections for every person in this country because Americans care deeply about the timeless and essential mission of this great Agency.”
Trump has picked former New York Congressman Lee Zeldin to lead the EPA. A confirmation hearing for the nominee is expected to take place this week before the Senate Environment and Public Works Committee.