Sponsors (4)
Expands EECBG allowable uses to include alternative fuels and supply diversification, and authorizes $3.5B/year for FY2026–FY2030 with up to 1% for administration.
The bill directs substantial new federal grants to expand local energy efficiency, distributed energy, and alternative-fuel projects—boosting resilience and options for state and local governments—while increasing federal spending that could add to the deficit and shift some funding away from other planned efficiency priorities.
State and local governments, and utilities can access a substantial increase in federal grant funding—$3.5 billion per year for FY2026–2030—to support energy-efficiency and distributed energy deployments.
State and local governments gain more flexibility to fund projects that diversify local energy supplies and expand alternative-fuel use, increasing local energy options and planning choices.
Local governments, rural communities, and utilities can use grants for distributed resources, district heating/cooling, and alternative-fuel infrastructure, improving local resilience and access to cleaner energy.
All taxpayers face higher federal spending of $3.5 billion per year through FY2030, which could increase the deficit or necessitate spending cuts or tax increases elsewhere.
Local and state governments may see funding shift toward alternative-fuel infrastructure, potentially diverting money away from planned traditional energy-efficiency projects they intended to pursue.
State and local governments could receive slightly less grant funding because the Secretary may use up to 1% of annual appropriations for administration (up to about $35 million/year).
Based on analysis of 2 sections of legislative text.
Official title: To amend the Energy Independence and Security Act of 2007 to reauthorize the Energy Efficiency and Conservation Block Grant Program, and for other purposes.
Introduced July 10, 2025 by Greg Stanton · Last progress July 10, 2025
Adds alternative fuels and fuel‑supply diversification as explicit purposes and allowable uses of the Energy Efficiency and Conservation Block Grant (EECBG) Program, raises authorized funding to $3.5 billion per year for FY2026–FY2030, and allows the Department to use up to 1% of grant funds each year for administration. Also updates some internal statutory references for allocation language.