Attorney General James Takes Action to Protect Clean Energy for Vulnerable Communities

NEW YORK – New York Attorney General Letitia James joined a coalition of plaintiffs in filing two lawsuits to protect billions of dollars in grant funding that would connect nearly one million households nationwide in low-income and vulnerable communities with affordable solar power. In August, the Environmental Protection Agency (EPA) illegally ended the Solar for All (SFA) program and rescinded billions of dollars already issued to states to fund programs that would bring low-cost home solar power to communities nationwide. Attorney General James and the coalition have filed lawsuits in the Court of Federal Claims and the United States District Court for the Western District of Washington seeking court orders ruling the administration’s termination of SFA unlawful and damages for the termination of individual grants worth billions of dollars.

“Providing more communities with affordable clean energy will help lower energy bills and tackle the climate crisis,” said Attorney General James. “The Solar for All program delivers critical resources to help install solar power on homes across the country. The EPA’s cancellation of Solar for All is illegal and unconstitutional, and I will keep fighting to ensure our communities have access to these funds.”

“The Trump administration's continued assault on clean energy programs, including the attempt to cancel the Solar for All Program, is in direct contrast to the President's claims of wanting U.S. energy independence,” said Governor Kathy Hochul. “The Statewide Solar for All program is part of a true all-of-the-above energy strategy in New York that is designed to generate significant benefits for our health, environment, economy, and for the thousands of New Yorkers who would benefit from lower electric bills.”

“At a time when affordability is top of mind for every New Yorker, especially for those with low to moderate incomes, the federal government should be partnering with states to advance an abundance of locally produced, clean energy that can help provide cost savings on monthly electric bills,” said Doreen M. Harris, President and CEO, New York State Energy Research and Development Authority. “The Environmental Protection Agency’s unlawful termination of the federal Solar for All program is creating a crippling ripple effect on the clean energy industry while forcing hard-working Americans to choose between household essentials as they try to budget for the increasing costs of electricity, heat and groceries.”

As part of the 2022 Inflation Reduction Act, Congress created and funded an EPA program that would provide states with funding to help low-income and vulnerable communities access clean energy technologies, including rooftop solar power. The EPA program, later named SFA, selected 60 grant recipients, including states, tribal governments, local governments, and nonprofit groups, to receive this funding. In August 2024, EPA announced that it had obligated $7 billion through SFA to deliver residential solar power to more than 900,000 low-income households nationwide. In New York, the New York State Energy Research and Development Authority (NYSERDA) was awarded $249,800,000 in SFA funding. Leaders in states across the country began developing SFA programs, meeting with community members and utility companies, and negotiating agreements with contractors to help install new solar infrastructure.

In July 2025, the administration enacted legislation that rescinded any remaining funds that had not been obligated as part of SFA. However, in August 2025, EPA began illegally targeting SFA and its funding that had already been obligated to states – funding that should not have been impacted by the new legislation. On August 7, EPA Administrator Lee Zeldin announced, “the Trump EPA is…ending Solar for All for good.” Shortly after, EPA shut down the SFA program and removed up to 90 percent of states’ SFA funds with no explanation.

In the District Court, Attorney General James and the coalition argue that EPA’s termination of the SFA program is illegal and unconstitutional. Stripping this program away entirely from states violates the Administrative Procedure Act and overrides Congress’s constitutional power of the purse. Attorney General James and the coalition also argue in the Court of Federal Claims that revoking the already obligated SFA grants is an illegal breach of contract and taking of property.

Attorney General James and the coalition are seeking a court order from the District Court ruling EPA’s elimination of SFA unlawful and ordering the resumption of the program. In addition, they are seeking damages from the Court of Federal Claims for the unlawful termination of individual grants, including the nearly $250 million grant to NYSERDA.

Joining Attorney General James in filing the lawsuit in the District Court are the attorneys general of Arizona, California, Colorado, Connecticut, Hawaii, Illinois, Massachusetts, Maine, Maryland, Michigan, Minnesota, New Jersey, New Mexico, North Carolina, Oregon, Rhode Island, Vermont, Washington, and the District of Columbia. Also joining the lawsuit are the governors of Kentucky and Pennsylvania, as well as the Wisconsin Economic Development Corporation.

Joining Attorney General James in filing the lawsuit in the Court of Federal Claims are the attorneys general of Arizona, California, Colorado, Connecticut, Hawaii, Illinois, Massachusetts, Maine, Maryland, Michigan, Minnesota, Nevada, New Jersey, New Mexico, North Carolina, Oregon, Rhode Island, Vermont, Washington, and the District of Columbia. Also joining the lawsuit are the governors of Kentucky and Pennsylvania, as well as the Wisconsin Economic Development Corporation.