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The US has stopped the $5 billion offshore wind project developed by Norwegian Equiners, striking the renewable and renewable electricity sector, signaling a positive new push on the clean energy initiative.
Interior Secretary Doug Burgham ordered equestrians to “quickly halt all construction activities” on the 810-megawatt Empire wind project off the coast of New York City, and denounced the rushed and inadequate analysis when the previous Biden administration approved the group’s plans.
The decision to suspend the project represents the latest escalation in the Trump administration’s attack on the country’s offshore wind sector, which prompted major developers, including Shell and Total Energy, to cut or delay American ventures.
President Donald Trump suspended offshore wind leases in January, allowing and ordering reviews of already approved projects.
The Biden administration approved the Imperial Wind Project in November 2023. The project, which began construction last year and promises to create 1,000 jobs, is one of the biggest federally approved projects and the largest offshore wind development serving New York City. Equiner said he would be “involved” with the Home Office “to understand the questions raised about the permits received from the authorities.”
Unlike other renewable energy projects, the US offshore wind sector relies on the federal government to grant approval. More than 90% of the planned offshore wind projects in the country, totaling over 60 gigawatts, were at “serious risks,” said consultant Tristad Energy.
New York Governor Kathy Hockle vowed to “fight” the Trump administration’s decision. “I will not allow this federal overreach to stand,” she said in a statement. The state has set a goal of generating at least 70% of its electricity from renewables by 2030.
The Trump administration’s attack on offshore-like winds exacerbates the economic challenges facing sectors over the past two years.
Clean Energy executives and analysts warn that Trump’s attacks on offshore winds pose a threat to the US power grid.
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They warn that a federal government suspends on already approved projects could set precedents for projects across the energy sector and send negative signals about US stability as a business environment.
Oceanic Network, a nonprofit, estimates that over $400 billion has been invested in the US offshore wind sector. According to Bloombergnef, European companies support more than half of advanced American offshore wind projects.
“We’re looking forward to seeing you get the chance to get started,” said Jason Grumet, CEO of American Clean Power, a clean energy group.
“These political reversals are bad policies, whether they apply to pipelines or wind farms.”
