USAID terminated a $75 million grant agreement supporting Ukraine’s energy sector

The Ukrainian Energy Support Fund reports that the United States Agency for International Development (USAID) has terminated its $75 million grant agreement with the fund.

This was stated in a release by the Energy Community.

The Energy Community noted that on February 27, its secretariat received a notification from USAID regarding the termination of the grant agreement with the Ukrainian Energy Support Fund for $75 million and is now “awaiting further clarification.”

The funds were intended for the purchase of energy equipment, particularly to help Ukraine get through the heating season.

It is worth recalling that the Trump administration ultimately shut down 83% of USAID programs. According to U.S. Secretary of State Marco Rubio, 5,200 contracts worth tens of billions of dollars were canceled.

As previously reported, all USAID projects were initially frozen after Trump decided to audit the organization. In Ukraine, 112 USAID projects were in operation, with total funding amounting to $7 billion.

At the end of February, it became known that the U.S. administration was terminating most foreign aid contracts from USAID and cutting total U.S. aid worldwide by $60 billion.

Additionally, the U.S. State Department has halted programs for the restoration of Ukraine’s energy infrastructure.