Workers at the U.S. Department of Energy (DOE) are blowing the whistle on President Donald Trump’s planned energy policy reversals. They caution that these changes could lead to increased expenses for American families. The move is being touted as Trump’s “big, beautiful bill.” Experts estimate it will raise Americans’ energy costs by at least 7 percent by 2035. Rhodium Group warns that this potentially harmful piece of legislation could put at risk monumental investments and breakthroughs in clean energy innovation.
Central to the worries surrounding Trump’s bill is its request for the repeal of multiple energy tax credits. The proposed move would decimate current energy efficiency programs. It would reverse the tremendous progress we’ve made in deploying carbon-free sources to the national electric grid. It’s hardly surprising that in 2024, 96% of the new energy capacity in the U.S. will be renewable. This is a big step in the right direction towards more sustainable communities.
Yet today, the DOE is bleeding talent amid an internal mutiny. Some 3,500 employees have voluntarily decided to defer their resignation buyout offers to assist with those cost-cutting measures. The department has refused to release final numbers or even quarterly estimates, as statutorily required, of the number of departures. These changes pass down as reports have suggested that 43% of DOE’s almost 16,000 employee workforce was designated as “non-essential.” In addition to their firing earlier this year, that department has fired 555 probationary employees.
Consumer advocates say the Administration’s proposed changes will do more harm than good to consumers. They say it doesn’t make sense to require people to buy more expensive, more time-consuming, non-energy efficient products. One DOE official lamented that the current approach undermines all attempts at saving consumers money. At the same time, it expands fixed energy costs, further burdening all consumers.
“The impact of a lot of what I was working on in the energy efficiency and electrification space is aimed at saving folks money. The business case around energy efficiency has been made for the past 30 years.” – A U.S. Department of Energy employee
The DOE’s recent actions include slashing 47 regulations deemed “burdensome and costly.” These deregulations are part of an overarching strategy by Trump and Secretary Wright to restore “commonsense” regulatory policies and lower costs for consumers. Some stakeholders are concerned that all of this energy and effort will fail to provide immediate improvements to the traveling public.
“President Trump and Secretary Wright pledged to restore commonsense to our regulatory policies and lower costs for American consumers – that is exactly what these deregulatory actions do.” – Source not directly mentioned
Even with these reassurances, there is mounting doubt and concern among many about the lasting impact of Trump’s policies. Observers have pointed out that halting research into next-generation solar or battery technologies could stifle innovations capable of reducing costs and greenhouse gas emissions.
“If you stop any research for next generation solar or battery technology… what you’re effectively doing is compromising a huge range of technology that has the potential to reduce costs.” – Source not directly mentioned
In addition to the scrutiny over the regulatory whiplash that would ensue from these changes, the potential for chaos has raised alarm. Critics have said that without cohesive policy, confusing drivers and consumers can drive U.S. businesses astray.
“The chaos with the tariffs, with the regulations… is just causing a lot of confusion, a lot of incoherence, a lot of inconsistency and uncertainty.” – Source not directly mentioned
For over a year, the Trump administration has come under fire for how poorly it has done on affordability and inflation. Many observers feel his policies at the DOE are indicative of a broader trend. This trend would have the opposite effect by driving prices up for consumers and eroding international competitiveness.
“As much as the election was on affordability, there’s a reason that Trump is doing incredibly poorly on affordability and inflation.” – Source not directly mentioned
With energy prices volatile and regulatory rollback on the march, many of us are asking if consumers will actually be better off under these new policies. Financial impacts on households Despite the potential loss of energy efficiency regulations, there is still cause for concern regarding long-term financial impacts on households.
“The efficiency regulations end up saving consumers an awful lot of money… It’s the exact opposite if you think of the whole system.” – Source not directly mentioned
The story at the Department of Energy is still a confusing and moving target. Meanwhile, employees are currently struggling with the ramifications of policy changes started by the Trump administration. The continuing controversies over the form of deregulation and what energy should cost today exemplify the fundamental conflicts between market-based innovation and government regulation.