Attorney General Tong Successfully Protects State Energy Programs

04/02/2026

Attorney General Tong Successfully Protects State Energy Programs

(Hartford, CT) -- Attorney General William Tong today released the following statement after the U.S. Department of Energy (DOE) rescinded its unlawful policy capping reimbursement for state energy programs and agreed to dismiss its appeal, preserving states’ victory in federal court and bringing the case to a close:

“Another major win to protect Connecticut against Donald Trump’s lawless chaos. This was an unlawful, short-sighted policy concocted to undermine efforts to drive down energy costs and keep us reliant on the fossil fuel industry. We sued, we won, and we’re going to keep fighting to protect Connecticut funding and Connecticut families,” said Attorney General Tong.

In August 2025, Attorney General Tong and a coalition of states sued DOE over a new policy capping reimbursement for key administrative and staffing costs at ten percent of a project’s total budget, threatening millions of dollars in funding for state energy programs. In September 2025, the U.S. District Court for the District of Oregon ruled in favor of the states and struck down DOE’s “indirect costs” policy.

After initially appealing that decision, DOE has now rescinded the policy and agreed to dismiss its appeal, ensuring that states will continue to receive full federal funding for these essential programs and bringing the litigation to a successful conclusion.

Twitter: @AGWilliamTong

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Media Contact:

Elizabeth Benton
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