DOE Ends $7.5 Billion in Grants for Biden-Approved Projects

Paccar's SuperTruck 3 Program, 2 Hydrogen Hubs Among Those Affected

Paccar Technology Center
The Paccar Technology Center in Mount Vernon, Wash. (Paccar Inc.)

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The terminated $7.5 billion in grants for 223 projects approved by the Biden administration including Paccar Inc.’s SuperTruck 3 project and two hydrogen hubs.

“On day one, the Energy Department began the critical task of reviewing billions of dollars in financial awards, many rushed through in the final months of the Biden administration with inadequate documentation by any reasonable business standard,” said Oct. 2. “President Trump promised to protect taxpayer dollars and expand America’s supply of affordable, reliable and secure energy. Today’s cancellations deliver on that commitment. Rest assured, the Energy Department will continue reviewing awards to ensure that every dollar works for the American people.”

The agency concluded that each project failed to meet economic, energy security or national security standards to fulfill federal government payouts.



A total of 321 financial awards were approved under the Advanced Research Projects Agency-Energy and the offices of:

  • Clean Energy Demonstrations
  • Energy Efficiency and Renewable Energy
  • Fossil Energy
  • Grid Deployment
  • Manufacturing and Energy Supply Chains

Wright’s office stated that 26% of the projects — worth more than $3.1 billion — were awarded between Election Day and Inauguration Day.

The governors of Washington and California decried the cancellation of previously awarded federal dollars for their programs.

blasted the Trump administration for stopping $1.1 billion for seven DOE grants. The previously authorized federal awards included $1 billion for the Pacific Northwest Hydrogen Hub as well as $68 million for two Paccar Inc. projects linked to the SuperTruck 3 program.

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Bob Ferguson

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“These projects will lower costs, create jobs and reduce air pollution. We’re working with the attorney general’s office to fight this illegal action,” Ferguson declared Oct. 2. Ferguson contended that the federally funded projects are critical to the state’s plan to outlaw traditional fossil fuel usage in favor of net-zero greenhouse gas emissions by 2050.

Although Paccar had no comment about the grant cancellations, the two projects were to receive DOE funds in Skagit County, which is home to the Paccar Technology Center. The 375-acre site provides test and development for Paccar divisions, including Kenworth, Peterbilt and DAF trucks.

According to Paccar’s 2024 annual report, the company was supposed to have received $68.4 million in a five-year SuperTruck 3 program to advance fleet electrification by developing battery-electric medium- and heavy-duty trucks as well as charging infrastructure.

“Technical Center computer simulation tools, laboratories and test tracks are used to develop and validate emerging technologies for Paccar vehicles, including hydrogen fuel cell and electric powertrains, diesel and hydrogen combustion engines, autonomous driving and connectivity to other road users,” the annual report stated.

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Gavin Newsom

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contested the termination of $1.2 billion from DOE to the state’s hydrogen hub, called the Alliance for Renewable Clean Hydrogen Energy Systems.

“Clean hydrogen deserves to be part of California’s energy future — creating hundreds of thousands of new jobs and saving billions in health costs. We’ll continue to pursue an all-of-the-above clean energy strategy that powers our future and cleans the air, no matter what D.C. tries to dictate,” Newsom said Oct. 1 in response to the cut.

Newsom’s office promised California and ARCHES will continue to work with partners to develop hydrogen to transition from fossil fuels.

U.S. Sen. Alex Padilla also opposed the cancellation of the state’s hydrogen hub project calling the move “vindictive, shortsighted, and proof this administration is not serious about American energy dominance.”

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