Among the federal clean energy awards recently terminated by the Trump administration is $87 million for a low carbon cement plant in Holyoke, a decision that Massachusetts-based Sublime Systems hopes to reverse.
U.S. Energy Secretary Christopher Wright on May 30 announced the termination of 24 awards issued by the Office of Clean Energy Demonstrations totaling over $3.7 billion. Most of the awards, including one to Sublime Systems, were made during the last weeks of President Joe Biden's administration, Wright's office said.
"After a thorough and individualized financial review of each award, DOE found that these projects failed to advance the energy needs of the American people, were not economically viable and would not generate a positive return on investment of taxpayer dollars," the U.S. Department of Energy said.
Trump has shifted U.S. energy policy toward fossil fuels, pivoting away from clean technology and offshore wind power that were priorities under Biden. The change in direction comes as Massachusetts officials start to implement $400 million in public capital support for climate technology that was part of a November 2024 law.
The Sublime Systems award was executed Nov. 4, 2024, the energy department said Friday. Wright's May 30 announcement did not include a list of terminated projects but a spokesman on Friday provided a list and it included the award to Sublime Systems, whose technology was invented at MIT.
In mid-May, the Energy Department issued a memorandum and signaled plans to evaluate financial assistance on a case-by-case basis "to identity waste of taxpayer dollars, protect America’s national security and advance President Trump’s commitment to unleash affordable, reliable and secure energy for the American people."
"Over the past 110 days, the Energy Department has been hard at work reviewing the billions of dollars that were rushed out the door, particularly in the final days of the Biden administration, and what we have found is concerning," Wright said when the memorandum was announced.
In an interview Monday, Sublime Systems Senior Vice President of Business Development Joe Hicken said the company's mission is in line with the Trump administration's preference for development, home-grown products, and displacing foreign imports. He said the decision to terminate the award was made during "the fog of war" of the administration's first months in office.
"We were certainly surprised and disappointed about this development and we're paying very close attention to this," Hicken said. "We don't think that the conversation is over."
On Thursday, Sublime Systems announced that it was establishing a Distribution Channel Partner program with large general contractors that represent over $60 billion in annual revenues, including Turner Construction, STO Building Group, DPR Construction, Suffolk, Holder Construction, Consigli Construction Co., Inc., Samet Corporation, DOC, and Methuen Construction.
"The best businesses listen and respond to the demands of their customers, and that’s exactly what these GCs are doing," Sublime CEO and Co-Founder Leah Ellis said in a statement Thursday. "Americans want next-generation made-in-America cement that is clean, energy efficient, durable, and beautiful."
On May 22, Sublime Systems announced Microsoft would purchase up to 623,000 tons of cement products from Sublime’s first commercial factory and subsequent full-scale factory over a six- to nine-year period. Sublime said at the time that it was using the $87 million federal award "to reshore and modernize American cement manufacturing, strengthen American supply chains, increase energy efficiency, and lead innovation of an essential material."
Asked if Sublime would build the Holyoke plant without the federal award, Hicken said Sublime was reviewing its backup options.
"We're a resilient company that hasn't gotten this far without very rigorous scenario planning," Hicken said.
Congressman Richard Neal, who represents Holyoke, said Monday that Sublime Systems' low-carbon cement manufacturing plant is scheduled to open in Holyoke in 2027.
"The Trump Administration’s decision to kill critical clean energy projects is deeply irresponsible and is a betrayal of American innovation, workers, and the fight against climate change," Neal said. "Scrapping funding for projects for innovators like Sublime Systems in Holyoke undercuts years of progress in decarbonizing heavy industry, and it jeopardizes good-paying jobs and economic development in communities that need it most."
Neal said the funding award stemmed from the Inflation Reduction Act that was written in the Ways and Means Committee when he chaired the panel.
"This isn’t just about climate — it’s about global competitiveness and leadership," Neal said. "Turning away from American-made clean technologies in favor of outdated fossil fuel priorities is shortsighted and will be disastrous for our economy and environment, all while giving the upper hand to our competitors around the world. I urge the Trump Administration to reverse course and recommit to a forward-looking energy strategy that supports innovators and benefits our communities, economy, and planet."
Last October, some of the state's highest ranking Democrats gathered in Boston's Seaport to celebrate a new office building at 1 Boston Wharf Road and the use of low-carbon cement in its construction.
"Everybody here recognizes that the polluting way of making cement today is not sustainable. At Sublime we invented a new way to make the cement avoiding the CO-2 emissions, without the added cost and without the added complexity of carbon capture," Sublime CEO Ellis said at the time.
Gov. Maura Healey said at the October Seaport event, "Low-carbon cement is going to help us decarbonize our global economy, and today, as we have so many times, the transformation is beginning right here in Massachusetts."
The News Service last October reported that Sublime received $87 million in federal funding earlier in the year through the Inflation Reduction Act. The grant came from the Industrial Demonstrations Program, which received $6.3 billion in the IRA, meant to "accelerate decarbonization projects in energy-intensive industries and provide American manufacturers a competitive advantage in the race to lead the world in low- and net-zero carbon manufacturing," the Biden administration's Department of Energy said at the time.
In May, Suffolk Technologies, the venture capital platform affiliated with the construction company Suffolk, announced an investment in Sublime Systems and Suffolk said it had "pre-purchased capacity from Sublime’s forthcoming manufacturing plant in Holyoke."
"This is more than an investment—it’s a statement about the future of construction," said Jit Kee Chin, chief technology officer at Suffolk and co-founder at Suffolk Technologies. "Sublime’s mission is no less than fundamentally reshaping a cornerstone of the global built environment landscape, and we are proud to support them through our capital, our network, and our commitment to building a more sustainable world."