The US Department of Energy (DOE) is contemplating significant reductions to funding for projects focused on emerging energy storage and carbon capture technologies, according to a list reviewed by Reuters.
A decision to withdraw funding would deal a substantial setback to these promising technologies, which are critical for reducing carbon emissions but rely heavily on government backing due to their high risk and limited appeal to traditional private investors.
The DOE’s list, which includes more than two dozen projects funded by its Office of Clean Energy Demonstrations, highlights several initiatives at risk.
Among them are four carbon capture pilot programs that were allocated $309 million last year, along with three advanced demonstration projects in California, Texas, and North Dakota that received a combined $890 million for integrated technologies aimed at capturing, transporting, and storing carbon.
The list also shows plans to reduce funding for six out of nine long-duration battery storage projects.
The Department of Energy did not immediately respond to requests for comment.
Long-duration energy storage is seen as a key enabler for scaling renewable energy, particularly wind and solar, which are intermittent sources. Current grid-scale batteries, mostly lithium-ion, can typically store power for no more than four hours.
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Funding cuts for clean energy projects have been a trend since President Donald Trump’s administration, which has prioritized fossil fuel production as part of its “energy dominance” policy.
We recently reported that two Direct Air Capture (DAC) hubs in Texas and Louisiana, designed to showcase technology capable of removing carbon from the atmosphere on a commercial scale, are among the projects targeted for funding reductions.
These hubs had been included on a separate list of proposed cuts.
Read more: DOE Considering Funding Cuts For The Two Largest DAC Projects In The US
