A report by the Rhodium Group suggests that President Donald Trump’s “big, beautiful bill” will increase energy costs for American households by as much as 7% in 2035 due to the repeal of energy tax credits. The cuts are being driven by the Department of Energy’s proposed budget reduction of $19.3 billion.
Over 3,500 employees at the Department of Energy have reportedly taken delayed resignation buyout offers amid declining morale and staffing issues. Many workers believe that the cuts to renewable energy investments will lead to significant price hikes for consumers.
The non-partisan thinktank Energy Innovation calculated that the average US household will see its utility bills rise by over $230 by 2035 as a result of these cuts. The department’s proposal to eliminate 47 regulations, mainly targeting energy efficiency standards for appliances, has sparked criticism from many former employees and experts.
One former senior Department of Energy official stated that the totality of the cuts to personnel, grants, regulations, and budget will increase prices on everyone. They attributed Trump’s struggling track record on affordability and inflation to these policy decisions.
Critics argue that eliminating energy efficiency standards will compromise future research and development in renewable energy technologies, such as solar and battery storage, which are essential for meeting growing demand from emerging AI and data centers.
The US Department of Energy has denied claims that the deregulatory actions will lead to increased costs for consumers. However, former employees and experts paint a different picture, warning that these decisions will have long-term consequences for businesses and households alike.
Source: https://www.theguardian.com/us-news/2025/may/31/us-department-of-energy-job-cuts