Trump Pays $1.22B to Cancel Offshore Wind Projects
RWE reached a $1.22 billion Department of Justice settlement on Aug. 6, surrendering offshore wind leases off New York, California, and Louisiana. The funds will be redirected to natural gas projects.
- $900 million goes toward a 16% stake in Woodside Energy's Louisiana LNG export terminal.
- $300 million will fund gas-fired turbines and 15 natural gas peaking projects nationwide.
- 5 total deals have now been struck; prior partners include TotalEnergies, Invenergy, Ocean Winds, Reventus Power, and BlackRock's Global Infrastructure Partners.
- $3.92 billion is the cumulative federal outlay to cancel offshore wind leases so far.
Why it matters: The canceled RWE projects were in early development and would not have generated power until the 2030s at the earliest.
- States argue the loss of clean energy projects harms them as power demand rises with AI growth and electrification.
How 10 sources split on this story
Where they split: The core dispute is whether the administration's lease-cancellation settlements are a lawful policy tool or an illegal use of federal funds to eliminate projects Congress and states had supported.
Center coverage, 4 sources: The center frames the deals as an accelerating, legally contested pattern of buyouts driven by Trump's personal opposition to offshore wind, with growing state resistance and energy-demand pressures complicating the picture.
Fortune5hTrump continues paying to cancel offshore wind projects with $1.22B RWE deal to ax its wind leases and invest in Louisiana LNG | Fortune
Associated Press5hTrump administration's latest buyback of offshore wind leases brings total to nearly $4 billion
Bloomberg1hTrump Refunds $4 Billion to Cancel US Offshore Wind Projects
The Hill2hTrump pays yet another energy company to give up offshore wind rights
Los Angeles Times1hAnother offshore wind developer exits California in $1.22-billion deal with TrumpTBGThe Boston Globe4hTrump administration will buy back company’s offshore wind leases off 3 states
The Guardian3hTrump administration to pay German firm $1.22bn to cut offshore wind leases
The Independent1hTrump administration reaches $1.2B deal with offshore wind company to abandon projectsRight coverage, 2 sources: The right frames the settlements as a fulfillment of Trump's campaign promise to halt offshore wind and a concrete shift toward fossil fuel infrastructure investment.
What’s next: Seven states sued the administration in June over the earlier TotalEnergies agreement, calling it an unlawful payoff.
- Plaintiffs allege the Interior Department violated the Outer Continental Shelf Lands Act by skipping required hearings.
- Will courts block future settlements or unwind completed ones before funds reach natural gas projects?
- How will the loss of these leases affect state-level clean energy mandates and grid planning?