Trump administration has spent nearly $4B to cancel offshore wind farms
The Trump administration has spent nearly $4 billion to cancel offshore wind farm leases, including a recent $1.2 billion deal with RWE. The funds are being redirected toward natural gas infrastructure, including peaking power plants.
Why it matters
This reflects a significant shift in U.S. energy policy, prioritizing fossil fuel infrastructure over renewable energy development.
The Trump administration is paying another $1.2 billion to cancel an offshore wind lease, this time to German utility RWE.
The energy company said in an announcement that the wind farms would have been built off the coasts of California, Louisiana, and New York. Instead, RWE will spend $900 million to buy a small stake in a Louisiana liquid natural gas export terminal.
The New York wind farm would have generated more than 3 gigawatts, according to Heatmap News.
The remaining $300 million will go toward buying natural gas turbines to power 15 peaking power plants around the country. Peaking power plants are among the most expensive and most polluting natural gas power plants to operate. It’s unclear when those will be completed — there’s currently a backlog for new turbines stretching into the early 2030s .
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