The U.S. Department of Energy's (DOE's) Office of Energy Efficiency and Renewable Energy (EERE) is responsible for renewable energy and end-use energy efficiency technology development. Other activities include issuing grants for home energy efficiency and state energy planning, establishing minimum energy conservation standards for appliances and equipment, and providing technical support. EERE collaborates with industry, academia, national laboratories, and others to conduct and support research, development, demonstration, and deployment activities. EERE also manages programs that support state and local governments, tribes, and schools. EERE oversees and supports the research and infrastructure of the National Laboratory of the Rockies (formerly National Renewable Energy Laboratory).
EERE is generally funded by the annual Energy and Water Development and Related Agencies (EWD) appropriations bill. The Full-Year Continuing Appropriations and Extensions Act, 2025 (P.L. 119-4) was signed by President Trump on March 15, 2025, providing annual appropriations for FY2025 at the FY2024 level for nearly all accounts, or $3.460 billion for EERE (Division D of the Consolidated Appropriations Act, 2024; P.L. 118-42).
In addition, EERE received funding through the Infrastructure Investment and Jobs Act (IIJA; P.L. 117-58). IIJA provided a total of $16.264 billion in additional emergency appropriations for EERE, of which $1.945 billion is for FY2026 (see Table 1).
EERE also received $17.962 billion in additional funding through P.L. 117-169 (known as the Inflation Reduction Act of 2022) in FY2022, expiring at the end of FY2026, FY2027, FY2029, or FY2031, depending on the provision. (Prior year funding; not shown in Table 1.)
For FY2026, the Trump Administration requested $888 million for EERE, a 74.3% decrease versus FY2025 enacted of $3.460 billion. The FY2026 request also proposed funding one particular EERE program, Manufacturing and Energy Supply Chains (MESC), at $15 million in a new appropriations account, in addition to the EERE money.
Overall, DOE's stated goal for EERE funding is to "advance energy dominance." The President's budget request states that EERE will support work to repeal energy efficiency standards. The request includes goals for domestic supply chains of critical materials and components, modernization of the electric grid, promoting affordability and consumer choice in home appliances, research focused on key outcomes related to energy affordability, and other purposes.
The President's budget request for FY2026 proposes appropriations bill language to enact rescissions of $2.315 billion of the IIJA-appropriated funds allocated to EERE. On November 20, 2025, DOE reorganized EERE's functions into a new Office of Critical Minerals and Energy Innovation.
A proposed House-Senate compromise that includes FY2026 EERE appropriations was introduced January 6, 2026 (H.R. 6938, the Commerce, Justice, Science; Energy and Water Development; and Interior and Environment Appropriations Act, 2026) and passed the House on January 8, 2026, and the Senate on January 15, 2026. A January 5, 2026, press release from the House Appropriations Committee described the bill as "conferenced legislation" and "bipartisan, bicameral." The bill would fund EERE at $3.1 billion, applying a transfer of $1.150 billion in unobligated balances appropriated in IIJA, as directed in Section 311(c) of Division B, for a net EERE appropriation of $1.950 billion. The funds to be transferred from IIJA include $393.9 million in EERE appropriations from Division J of IIJA, among other amounts from other DOE offices. The bill would not fund MESC as a separate account as in the President's request. The draft explanatory statement for Division B of H.R. 6938 would, per Section 104 of the bill, allocate monies to the accounts and subaccounts as shown in Table 1. Neither the House bill nor the House draft explanatory statement acted on the President's request to rescind monies from IIJA.
Previously, on September 4, 2025, the House had passed H.R. 4553, the Energy and Water Development and Related Agencies Appropriations Act, 2026, which would have funded EERE at $1.83 billion, keeping MESC activities within EERE. The House-passed bill was placed on the legislative calendar in the Senate on September 10, 2025. (Not shown in Table 1.)
In the Senate, Title III of S. 3293, the Energy and Water Development and Related Agencies Appropriations Act, 2026—referred to the Committee on Appropriations on December 1, 2025—would have specified $3.287 billion in the EERE account, $1.0598 billion of which would have been a transfer of amounts previously appropriated in IIJA to carry out Section 40308, Regional Direct Air Capture Hubs. S. 3293 also would have specified $19.0 million for MESC as a separate account. (Not shown in Table 1).
|
Account (in italics) and Program Activitya |
FY2025 |
FY2025 Annual Enacted |
FY2026 |
FY2026 Request |
FY2026 H.R. 6938 |
|
EERE, total budget authority |
1,945.0 |
3,460.0 |
1,945.0 |
888.0 |
3,100.0 |
|
Sustainable Transportation and Fuels |
1,440.0 |
581.7 |
1,440.0 |
95.0 |
802.0 |
|
Vehicle Technologies |
1,240.0c |
240.0 |
1,240.0c |
25.0 |
397.0 |
|
Bioenergy Technologies |
— |
305.0 |
— |
70.0 |
245.0 |
|
Hydrogen and Fuel Cell Technologies |
200.0 |
36.7 |
200.0 |
— |
160.0 |
|
Renewable Energy |
— |
969.6 |
— |
240.0 |
690.0 |
|
Solar Energy |
— |
41.9 |
— |
— |
220.0 |
|
Wind Energy |
— |
29.8 |
— |
— |
100.0 |
|
Water Power |
— |
300.0 |
— |
90.0 |
220.0 |
|
Geothermal Technologies |
— |
487.9 |
— |
150.0 |
150.0 |
|
Renewable Energy Grid Integration |
— |
110.0 |
— |
— |
— |
|
Buildings and Industry |
505.0 |
921.6 |
505.0 |
170.0 |
678.0 |
|
Advanced Manufacturing |
250.0d |
774.0 |
250.0d |
150.0 |
390.0e |
|
Building Technologies |
255.0f |
147.6 |
255.0f |
20.0 |
288.0 |
|
State and Community Energy Programs |
— |
432.1 |
— |
— |
435.0 |
|
Weatherization |
— |
366.0 |
— |
— |
369.0 |
|
State Energy Program |
— |
66.0 |
— |
— |
66.0 |
|
Local Government Energy Program |
— |
0.1 |
— |
— |
— |
|
Energy Future Grants |
— |
— |
— |
— |
— |
|
Manufacturing and Energy Supply Chains |
— |
19.0 |
— |
— |
17.0 |
|
Federal Energy Management Program |
— |
43.0 |
— |
— |
25.0 |
|
Corporate Support |
— |
493.0 |
— |
383.0 |
453.0 |
|
Transfers of unobligated IIJA balances to EERE |
— |
— |
— |
— |
-1,150.0 |
|
MESC |
— |
— |
— |
15.0 |
— |
|
Total, all accounts, net of transfers to EERE |
1,945.0 |
3,460.0 |
1,945.0 |
903.0 |
1,950.0 |
Sources: P.L. 117-58 (Infrastructure Investment and Jobs Act; IIJA); P.L. 119-4; DOE FY2026 Congressional Justification, DOE/CF-0215, vol. 4; H.R. 6938 and draft explanatory statement for Division B; and DOE FY2026 Budget Justification: Statistical Tables.
Notes: Columns may not sum due to rounding. EERE = Energy Efficiency and Renewable Energy; MESC = Office of Manufacturing and Energy Supply Chains. See text regarding rescissions of IIJA funding proposed in the President's Budget Request FY2026.
a. Subaccount names in bold are as given in draft explanatory statement for Division B of H.R. 6938.
b. The placement of IIJA funding in the subaccounts (rows) follows DOE's FY2023 Congressional Budget Request, DOE/CF-0184, vol. 4. The IIJA funding for EERE was not implemented by EERE in every case. See other notes to this table.
c. Of this amount, $1,200 million of funding is being executed in MESC: Battery Material Processing Grants (IIJA §40207(b)) and Battery Manufacturing and Recycling Grants (IIJA §40207(c)).
d. Of this amount, $100 million is for IIJA §40314 activities, which DOE calls the Clean Hydrogen Manufacturing Recycling RD&D Program, and $150 million is being executed within MESC in the Advanced Energy Manufacturing and Recycling Grant Program (IIJA §40209).
e. Equals the sum of two lines in draft explanatory statement for Division B of H.R. 6938: Advanced Materials and Manufacturing Technologies (recommendation of $185 million) and Industrial Technologies (recommendation of $205 million).
f. Of this amount, $100 million is being executed in the Office of State and Community Energy Programs as Energy Efficiency Improvements and Renewable Improvements at Public School Facilities, and a further $110 million in MESC as (1) Industrial Research and Assessment Centers (IRACs), authorized in Section 457(b)-(h) of the Energy Independence and Security Act of 2007 (EISA; P.L. 110-140); and (2) Implementation Grants for IRACs, authorized in Section 457(i) of EISA—both as amended by IIJA §40521.