EPA’s $27 billion taxpayer-funded slush fund ripe for waste, fraud, and abuse

The Environmental Protection Agencies' (EPA) Greenhouse Gas Reduction Fund (GGRF) is a $27-billion slush fund of taxpayer money that will be used by the Biden administration to fund its radical rush-to-green agenda. 

The Energy and Commerce Committee is leading to hold the administration accountable and continuing its oversight efforts to stop this program from becoming the next taxpayer-financed big government boondoggle. The Oversight and Investigations Subcommittee is holding a hearing next week to demand answers and transparency from the EPA on how it is planning to prevent misuse as it administers these billions of dollars. 

WHY IT MATTERS:  

Created under the Democrats’ so-called “Inflation Reduction Act,” the GGRF is a “first-of-its-kind” EPA green bank program in which the agency will dole out funding to non-profits and state and local governments. 

Under law, the EPA must obligate the funding by September 2024—an incredibly quick timeline that the EPA Inspector General has cautioned could lead to waste, fraud, and abuse.

WHAT’S NEXT: 

Our oversight hearing will build upon previous efforts to learn more about the program and ensure the Biden administration doesn’t steer hardworking Americans’ tax dollars to its political allies. Energy and Commerce Republicans have asked the EPA how it plans to address expected problems in administering the GGRF, including: 

1. Possible Conflicts of Interest with Fund Recipients

• Some think tanks have flagged that the EPA could use this program to subsidize favored special interest organizations.
• Others have alleged that current EPA appointees have ties to potential recipients of these sizeable awards, raising ethical concerns.

2. Speed at Which $27 Billion in Grants Must be Awarded

• The EPA’s Inspector General has warned that newly created programs providing funding to new recipients on short timelines creates an increased vulnerability for fraud and execution errors.

3. China’s Control over the Solar Market

• China’s control of key materials in renewable energy extends across the board.
• China controls almost half of the U.S. solar panel market share, making it incredibly difficult to supplant Chinese producers with domestic suppliers.   
• Certain projects under all three GGRF competitions are subject to the Buy America domestic sourcing requirements of the Build America, Buy America provisions of the Infrastructure Investment and Jobs Act.

Tune in on Tuesday as Energy and Commerce Republicans continue to demand answers!