The Trump administration has ended a U.S. Agency for International Development program that had invested hundreds of millions of dollars to help rebuild Ukraine’s energy grid, which had been repeatedly attacked by the Russian military. This decision was confirmed by two officials working on the USAID Ukraine mission.
Russian attacks on Ukraine’s energy facilities have caused widespread power outages in some regions, especially during the colder months. The country’s energy systems have been under constant pressure throughout the ongoing war.
One of the officials said, “It significantly undercuts this administration’s abilities to negotiate on the ceasefire, and it’d signal to Russia that we don’t care about Ukraine or our past investments.”
The official added, “Russia is fighting a two-pronged war in Ukraine: a military one and an economic one. They’re trying to crush the economy, but USAID has played a central role in helping it be resilient, including shoring up the energy grid…We’ve provided vast amounts of support to the Ukrainian government to avoid a macroeconomic crisis.”
Along with ending the Ukraine Energy Security Project, USAID is also drastically reducing its presence in Ukraine. Before the decision, there were 64 U.S. government employees and contractors working in Ukraine for USAID. Now, only eight of them will remain, after the Trump administration placed most of its global workforce on administrative leave and ordered non-essential workers to return to the U.S.
The two officials warned that pulling out USAID staff could leave Ukraine’s energy grid vulnerable, especially as Russian missile attacks continue through the winter.
The officials also pointed out that USAID is crucial in making sure that financial aid sent to Ukraine is used properly.
A document obtained by NBC News shows that the State Department has also ended a program focused on financial sector reform in Ukraine.
“We won’t have the eyes on where this money has gone over the last few years,” one of the officials said.
USAID’s Bureau for Europe and Eurasia, which oversees the Ukraine mission, has 115 staff members in Washington, D.C. The officials said that number will be reduced to just 29 employees.
A State Department spokesperson did not respond to a request for comment.
