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The Transportation and Infrastructure Committee released a budget proposal that attempts to claw back nearly $9 billion in grants.

The House Transportation and Infrastructure Committee released the first draft of its portion of Trump’s big budget bill on Tuesday, and it includes the first official swipe at the Inflation Reduction Act of the months-long process ahead.
Remember, the name of the game for Republicans is to find ways to pay for Trump’s long list of tax cuts. The budget framework Congress passed two weeks ago assigned eleven House committees to craft proposals that would each raise or reduce revenue by a specific amount to accomplish Trump’s agenda.
The Transportation Committee proposal contains one new revenue-generating program, placing a $200 annual fee on electric vehicles and $100 fee on hybrid vehicles, alongside a $20 fee on conventional cars. The money would go into the Highway Trust Fund, which is currently financed mostly by the gas tax — and which, of course, EV owners don’t pay.
But the draft also includes a list of “rescissions” of unobligated funds from seven IRA grant programs. While the Biden administration awarded the vast majority of the money allocated to the programs listed, in many cases the recipients never reached a final project agreement with the government. That means a lot of the funding can, in fact, be clawed back.
Take the first item on the list, the Alternative Fuel and Low Emissions Aviation Technology Program. The IRA allocated $291 million for grants to support producing sustainable aviation fuel and developing low-emission aviation technologies, and the Biden administration awarded the full amount to 36 recipients in August of last year. It’s not clear how many reached final project agreements with the Federal Aviation Administration, however. A quick scan of the government’s database of awards is missing a $25.7 million grant to oil giant BP to produce sustainable aviation fuel at its refinery in Washington State, but it does include the full obligation of $240,000 to the City of Atlanta to conduct a study on deploying SAF at Hartsfield-Jackson Airport.
Grants aren’t always logged in USASpending.gov in a timely manner, so it’s possible BP does have an agreement in place. Among the other awardees that I could not find listed in the database were World Energy, which was awarded nearly $22 million to install infrastructure enabling Los Angeles International Airport to get deliveries of SAF, and Buckeye Terminals, which got $24 million to upgrade four SAF storage facilities in the midwest. Republicans tend to support biofuels, so it’s somewhat surprising they went after this program — especially since $291 million is chump change on the scale of a multi-trillion-dollar budget.
We know a bit more about the second item on the list, the Neighborhood Access and Equity Grant Program. This one allocated just over $3.2 billion to the Federal Highway Administration to award state and local governments with grants to improve walkability and transportation access, to mitigate transportation-related pollution in disadvantaged communities, and to improve transportation equity. The advocacy group Transportation for America found that of the nearly 100 awards the Biden administration announced from this program in 2023, totaling more than $3.1 billion, only 25 projects may have reached a final project agreement, per USASpending.gov. The group says this means it’s possible that nearly the entire $3 billion is up for grabs.
Other funding targeted includes more than $3.3 billion across three allocations to the General Services Administration to improve the efficiency of government buildings, prioritize lower-carbon building materials, and invest in other “emerging and sustainable” building solutions. The Government Accountability Office published a well-timed report about these three programs today, noting that while 99% of the money has been awarded, only half has been obligated, leaving more than $1.7 billion for Congress to take back.
Lastly, the proposal lists $2 billion in grants for states and local governments to use low-carbon materials in road projects. The Department of Transportation awarded $1.8 billion of the money to 39 states last year, although again, it's unclear how many of these awards have been obligated.
Having said all that, let’s assume for a moment that the full amount allocated to each of the programs was available to Congress to claw back. That would come to just under $9 billion of the $10 billion of deficit reductions the Transportation and Infrastructure Committee is required to find under the special rules governing the budget bill.
But the draft bill also contains huge amounts of new spending, including allocating more than $20 billion to the United States Coast Guard for border security and $15 billion for upgrades to Air Traffic Control systems. The nonprofit Union of Concerned Scientists estimates that the new fees on EVs and other vehicles could raise between $7 and $33 billion over the lifetime of the bill, which is not enough to pay for all of that. (They also note that it would barely make up for the more than $200 billion deficit in the Highway Trust Fund.) So if Republicans want to keep those provisions, they may have to find more cuts. They’ll likely have to find more anyway, depending on how much of the IRA money has been obligated.
I’ll leave you with a reminder that I’ll be repeating ad nauseam over the next few weeks or months as Congress hammers out its budget bill: This is just a first pass, and this is all subject to change. The Transportation and Infrastructure Committee will be holding a markup of the proposal on Wednesday, where it will debate each line and make changes before voting on whether to advance it.
Most of the Inflation Reduction Act programs come under the aegis of the Energy and Commerce and Ways and Means committees, neither of which have published any bill text yet. But we’ll be here for you when they do.
Editor’s note: This story has been updated to remove a reference to Gevo, a sustainable aviation fuel producer, which told Heatmap that it declined its awarded grant due to changed business priorities. It has also been update to include the Union of Concerned Scientists’ revenue estimate.
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Temperatures are high, but electricity drama is low.
The Texas summer isn’t over — highs today are forecasted to be at or above 100 degrees Fahrenheit in much of the state — but so far the state’s grid has held up.
In the past month or so, Texas’ grid has hit a number of generation records, according to data collected by Grid Status. Those include its highest load ever (91,308 megawatts on July 22), its highest level of renewables generation (53,000 megawatts on August 13), maximum wind output (29,000 megawatts on June 29) and, most notably, its maximum battery discharge (some 13,256 megawatts earlier this week, on August 23, at 7:45 p.m.).
And all the while, the grid has been stable, which is by no means guaranteed in Texas.
The state’s grid operator, ERCOT, has not issued a single “conservation appeal” so far this summer, asking Texans to voluntarily reduce electricity consumption to support the grid. By contrast, in 2023, the grid manager issued six between August 24 and August 30.
Those conservation appeals were almost always given for the late afternoon and early evening, when demand typically peaks thanks to demand from workers returning home and cranking up their air conditioning. That’s also when the grid has to ramp up dispatchable resources quickly to compensate for solar falling off the grid as the sun sets.
“We’re really seeing peak demand divorced from peak prices,” Joshua Rhodes, research scientist at the University of Texas, told me. This means that when demand is at its highest on a summer day — say around 4 p.m. this past Monday, when load was over 90 gigawatts — real-time prices were about $46 per megawatt-hour, according to Grid Status. At that time, natural gas made up about 42% of the grid and solar 36%. Compare that to the same time in 2023, when real-time prices were $85 per megawatt-hour during peak usage times and wind and solar combined made up around 20% of the grid.
As Abby Lestina, principal market analyst at Grid Status, put it to me, “The lack of pricing action would lead to the conclusion that the grid is more stable.”
Another positive side effect of that stability is that batteries on the system can still charge even when demand is at its highest, and then discharge in the evening to help make up for lost solar. “Even when we were setting peak demand records, we’re still on net charging batteries, which at first blush feels so wrong,” Rhodes told me. “We have so much solar on the system that we’re charging batteries when prices are low, getting ready to discharge as the sun goes down before the wind picks back up.”
Let’s take Monday as an example again: At 7:50 p.m., when solar was down to just 1.5% of the mix on the grid, batteries were discharging 11,573 megawatts and real-time prices were around $125 per-megawatt-hour. On the same Monday of 2023, real-time prices at 7:50 p.m. were bouncing up and down from just below the statutory peak of $5,000 per megawatt hour and batteries were putting out just over a gigawatt.
“Because we have so much battery capacity online, it hasn’t been all that exciting,” Olivier Beaufils, head of US central at Aurora Energy Advisors, told me, referring to the hand-off from solar to batteries. “The price action, it’s like 150 bucks, not thousands, and that’s really because of this battery capacity.”
Texas is also aided by friendly geography — there are extensive solar projects in the western part of the state, while the load is largely in the Texas Triangle in the eastern part of the state, giving solar panels an extra hour or so to serve high demand later in the day.
Average electricity bills in Texas, an energy-hungry state, sat at $252 a month in July, according to Heatmap and MIT’s Electricity Price Hub, up just 2.3% in the past year, while rates are virtually unchanged at 16 cents per kilowatt-hour.
Along with California’s CAISO, ERCOT dominates battery deployment in the United States. According to the energy consulting firm GridLab, “ERCOT alone has deployed nearly 10 times more storage than PJM, MISO, SPP, and the Southeast combined.”
If anything, Texas’ solar and grid battery industries have been a victim of their own success. In Texas, where battery projects are brought online by investors seeking profits in the energy markets, generators make money by selling when prices are high. The same lower prices that show batteries are making the grid more stable are also revenues that battery operators are no longer getting.
“We’ve added so much battery capacity that they’ve cannibalized, they’ve eaten their own lunch,” Beaufils told me. “The situation’s a bit difficult for those operators.” California’s battery storage sector, by contrast, originated with a state mandate for utilities, jumpstarting the industry by force.
Of course, these types of cycles are nothing new to the energy business, especially in Texas.
“ERCOT’s characterized by these boom-bust cycles, and so the market’s never perfectly going to be in a supply-demand equilibrium,” Kevin Lee, head of advisory services for the central U.S. at Aurora Energy Research, told me. “Sometimes you have a little bit less capacity than you need, sometimes a little bit more. But generally, whenever you have a little bit less, the price signals go up, and then that’s driving more investment.”
While Texas still leads the country in battery additions so far this year, other states besides California are beginning to catch up, including Arizona. Thankfully, there’s still more sun yet to store.
Voltpost announced two new models today designed to mount on walls and ceilings.
Voltpost, the company putting electric vehicle chargers on lampposts, is now expanding to parking garages.
On Wednesday, the company unveiled two new configurations that can attach to the walls and ceilings of parking garages, lots, and other locations without easy access to streetlights or utility poles. Like Voltpost’s signature pole-mounted design, the ceiling- and wall-mounted options avoid the expensive construction work required by freestanding charging infrastructure. In theory at least, that should allow the company to deploy more chargers faster.
“Our mission has always been to decarbonize mobility by democratizing charging access,” Jeff Prosserman, Voltpost’s co-founder and CEO, told me. “And the real value proposition is that, when you can leverage the existing infrastructure, you can significantly reduce the cost, the timeline, and the physical footprint of chargers.”
The second Trump administration hasn’t made things easy. Almost immediately after taking office, Trump officials began slashing Biden-era programs designed to support the EV charging buildout, including the National Electric Vehicle Infrastructure and Charging and Fueling Infrastructure programs. Along with a handful of environmental groups, 17 states sued in May of last year to force the federal government to release NEVI funding and quickly received a preliminary injunction unfreezing the program. A similar group sued in December over the CFI funding, and though that case is still pending, Prosserman told me he expects to see a positive resolution before the end of the year.
Though the death of the EV tax credit has shrunk its addressable market, Voltpost has emerged relatively unscathed. “Honestly, that doesn’t really impact us at all,” Prosserman told Heatmap’s Katie Brigham last year. “At the end of the day, EV adoption will either increase X or Y percent in a given year, but it’s going to continue to increase year over year. We’re past the tipping point, going from early adopters into the mainstream.”
That said, he also told Katie that the company was taking a “more conservative approach” to growth as climate tech investment dried up. Voltpost itself also received several federal grants that are still in limbo. Instead, the company focused on its strategic partnerships with the likes of AT&T and Zipcar, and in July signed an agreement with InCharge Energy to handle installation and maintenance. To date, Voltpost’s funders include RWE Energy Transition Investments, a private equity vehicle within German energy giant RWE, alongside Twynam Funds Management, Exelon Foundation, Good News Ventures, and Climate Capital.
Like its lamppost chargers, Voltpost’s wall- and ceiling-mount kits work with Tesla and non-Tesla vehicles alike, and come with demand management software that responds to electricity time-of-use price signals to enable cheaper charging where and when possible. As for the cost of the kits and how many the company plans to install initially, Prosserman wouldn’t say.
Since deploying its first lamppost chargers in New York in 2024, Voltpost has expanded into California, Massachusetts, and Washington, D.C., among other states. It has more than 100 deployments in the pipeline through the end of this year, and is aiming for 10,000 by 2030. The point, Prosserman told me, is not to stand out in these communities, but rather to fit in.
“It’s not going to be just about greenfield project development if we’re going to decarbonize a planet across all aspects,” Prosserman said. “We’re really looking at building something that’s integrated, that fits in the fabric of the built environment and communities.”
Current conditions: A sleepy Atlantic hurricane season just snapped to attention as two tropical storms started forming near the Caribbean and off Africa’s coast • Southern California is bracing for a week of triple-digit temperatures • The Hawk Fire has forced 42,000 people to evacuate an area near Reno, Nevada.
The Environmental Protection Agency plans to repeal a federal rule requiring states to publicize and solicit comments on applications for air pollution permits for various industrial facilities, including new data centers and power plants that provide the electricity they need. The move, The New York Times cautioned, “could prevent residents from raising concerns about — or even learning about — data centers before permits are approved and construction starts.” Three-quarters of Americans now oppose data centers built near their homes, according to the latest polling from Heatmap Pro. That’s up from less than half last year.
The Trump administration’s effort to curb public input comes as local opposition to data centers reaches an intensity that frequently draws comparisons to a moral panic. In a post on X last week, one commentator compared the backlash to a 2004 newspaper clip in which a pregnant woman photographed smoking a cigarette complains that the sound of jackhammers from construction on her block posed a risk to her unborn child. A video circulating on Facebook this week showed the former mayor of the Upstate New York town of Massena, where census data shows one in four residents lives below the poverty line, pleading with residents to consider the benefits of data centers. “They’re data centers. They’re being built somewhere. Communities are accepting these things,” he said, urging residents holding protest signs to listen with an open mind to experts about how a proposed facility would be built. “I know for a fact we have aging infrastructure. It’s just going to get worse. How do you fix that? We’re losing people left and right in this community. Look at the number of boarded-up houses. Look at the number of businesses that are going out of business … You can’t afford the time it’s going to take to research for three years when these things are being built today.”
As you may recall, the Trump administration last week imposed harsh water cuts on the three states in the Lower Basin of the Colorado River: Arizona, California, and Nevada. This week, Nevada Governor Joe Lombardo, a Republican, announced litigation filed in federal district court challenging the Department of the Interior’s plan, arguing that the cuts unfairly harm downstream states like his. The lawsuit makes Nevada the first of the three states to launch what E&E News called a “legal war” against the policy. Under the Trump administration’s proposed plan, southern Nevada could lose more than 70% of what Lombardo called its “already meager Colorado River allocation,” even though Colorado, Utah, New Mexico, and Wyoming “are not required to contribute a drop.” The governor, who is up for reelection, continued: “This isn’t about political posturing; this is a matter of survival for a community that represents about two-thirds of our state’s citizens and the lion’s share of its economy.”
Between 2010 and 2024, the United States imported about 59 terawatt-hours of electricity per year from Canada, and exported roughly 13 terawatt-hours back north across the border. America’s appetite for Canadian electricity is only likely to increase as our northern neighbors build more nuclear reactors, hydroelectric dams, and offshore turbines in areas such as the Northeast, among (I say, haughtily clearing my throat as a fourth-generation New Yorker) the most densely populated and culturally powerful parts of the entire U.S. Now that’s under threat as Canadian Prime Minister Mark Carney plays hardball with President Donald Trump in floundering trade talks. After summoning home its trade negotiators over the weekend, Ottawa announced retaliatory tariffs against the U.S. on Tuesday, slapping levies of up to 50% on about $20 billion in goods. On Monday, Ontario Premier Doug Ford said his province could cut off electricity and critical mineral exports to the U.S. “We power 1.5 million homes and businesses,” Ford told the Associated Press. “Everything’s on the table. I’ll do whatever it takes.” While the BBC reported that “squeezing the U.S. on energy is not a current countermeasure,” it also said that such a response “hasn’t been ruled out.” In statements to Utility Dive, the grid operators in New York and New England said new tariffs would not affect reliability, though the latter region cautioned that it could face problems during extreme weather events.
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European buyers of liquified natural gas paid $22.83 for a million British thermal units at the start of this week, more than double the price a year ago and the highest since 2023, according to the Financial Times. The surge came as Iran struck an oil tanker trying to cross the Strait of Hormuz, damaging its engine room and halting the ship. Trump said Tuesday that all underwater mines the Iranian military had laid were now cleared from the waterway. Tehran is set to begin talks with neutral Oman on a route for fully reopening the strait, the Oman Observer reported.
The spike in European LNG prices serves as a reminder of the benefits for the U.S. of becoming the world’s top producer of natural gas and exporter of the version that’s super-chilled to a liquid state for more efficient transportation. LNG, as my colleague Matthew Zeitlin wrote in February, “is the ultimate bogeyman” for many progressives and climate activists. But the American industry, transformed by the fracking revolution over the past two decades, had more than enough supply to help Europe stay warm and keep the lights on in 2022, when Russia started throttling the pipelines selling gas to Ukraine’s allies after the start of the war. “The world is going to keep needing natural gas at least until 2050, and likely well beyond that,” John Hebert, a senior policy adviser at the advocacy group Third Way who is pushing for Democrats to embrace LNG, told Matthew. “The focus, in our view, should be much more on how we reduce emissions from the oil and gas value chain and less on actually trying to phase out these fuels entirely.”

When I visited the Netherlands’ lone nuclear power station in 2022, the single-reactor plant, called Borssele, stood alone next to a demolition site dismantling the power station. But soon the country plans to finally expand its atomic power sector. On Tuesday, NucNet reported that the Dutch nuclear energy agency had signed contracts with France’s EDF and the U.S.-based Westinghouse Electric Company for design studies on at least two new reactors. The advancing plans are a sign of how quickly things are changing in the region. At the end of my visit six years ago, I stood atop a high berm — classic Dutch engineering to reclaim the land and keep the floodwaters at bay — at the end of the facility and caught a glimpse at northern Belgium. Back then, Brussels was shutting down its own nuclear fleet. Now, as I reported earlier this year, the country has nationalized its reactors and plans to revive its industry.
Wildfire smoke is nasty stuff. That’s not news to anyone living in the American West, but we in the Northeast learned the hard way just how harmful it is when Canadian smoke poured into our cities this summer and in 2023. But that smoke can have a benefit, at least when rain carries it into soil: It acts as a fertilizer. A new study found that smoke-rain events can deliver large bursts of nitrogen, phosphorus, and potassium as black soot in the air mixes with water droplets. “It’s important to remember that what goes up must come down,” Alexandra Ponette-González, an urban ecologist at the University of Utah and Natural History Museum of Utah and the lead author of the paper, said in a statement. “There’s so much focus on what goes up and how that affects human health. We’re interested in everything that falls out of the atmosphere and lands on ecosystems, and what that means for our environment.”