TL/DR –
Michigan’s clean energy industry has been hit hard by policy changes and funding cuts from President Donald Trump’s administration, with over 6,000 jobs lost and numerous projects scaled back. The state was once the national leader in clean energy projects, but now faces struggles due to Trump’s attempts to pause climate group funding and boost coal production. In response to these obstacles, Michigan has joined 22 other states in suing the U.S. Environmental Protection Agency and its administrator for ending the $7 billion Solar for All program, which helps lower energy costs for low-income households.
Alterations in federal policy and budgetary reductions under the Trump administration have had significant impacts on Michigan’s green energy sector, leading to a scaling down of projects and job losses. A report from Climate Power, an advocacy organization focused on climate justice, reveals that since Trump’s second term, about 158,000 clean energy jobs nationwide have been halted or postponed, with Michigan accounting for upwards of 6,000 of these positions. This includes 1,200 employees from General Motors who were let go from an electric vehicle factory in Detroit in late October.
Climate Power’s communications director, Alex Glass, voiced his criticisms of this development in a statement: “Donald Trump’s policies are singlehandedly engineering a collapse of manufacturing projects in Michigan… Michigan Republicans will have to answer to voters for why they’ve co-signed an agenda that is sending American manufacturing jobs overseas and making daily life unaffordable.”
Michigan’s Green Transition
Despite these challenges, Michigan has been proactive in its transition towards greener energy, setting an ambitious target of achieving 100% carbon neutrality by 2040. In fact, Climate Power’s data indicates that Michigan led the nation in the number of clean energy projects announced between 2022-2024, with a total of 74 projects generating approximately 26,000 jobs and drawing nearly $27 billion in federal funds.
However, Trump’s administration, noted for its skepticism of climate policies and clean energy technology development, has disrupted this momentum. Infamously, Trump has propagated misinformation about climate change being a hoax and the supposed health risks of wind turbines. He has also made unsuccessful attempts to halt funding to climate groups via President Joe Biden’s 2022 Inflation Reduction Act and signed an executive order aimed at enhancing coal production.
Despite these obstacles, Michigan has been proactive in resisting measures that could potentially undermine its green energy initiatives.
Legal Challenges
One recent development has been a legal challenge against the U.S. Environmental Protection Agency (EPA) and EPA Administrator Lee Zeldin, initiated by Michigan’s Attorney General Dana Nessel along with officials from 22 other states. They allege the illegal termination of the Solar for All scheme, a $7 billion initiative focused on reducing energy costs for low-income households.
In 2024, Michigan was granted $156 million in funding from the Solar for All program for 13 pilot projects throughout the state. The Attorney General’s office states that the cessation of federal funding has impeded these projects, depriving disadvantaged communities across Michigan of the program’s intended benefits.
Nessel expressed her strong opposition to the federal administration’s actions, stating: “The Trump Administration’s decision to illegally rescind congressionally approved grants…is unlawful and deeply harmful to residents across Michigan and the country… We plan to do the same now to ensure the Trump Administration cannot unlawfully strip away these important investments that lower energy costs and make clean energy more accessible to Michigan families.”
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