Trump administration pays nearly $4 billion to cancel offshore wind projects

Published Aug 8, 03:13 PM UTC

The Trump administration has committed nearly $4 billion in taxpayer money to pay energy companies to cancel planned offshore wind projects, despite having declared a national energy emergency. The latest settlement, on August 6, 2026, paid German utility RWE $1.22 billion to surrender three federal offshore wind leases off New York, California, and Louisiana, representing up to 6 gigawatts of potential electricity generation. The deal requires RWE to invest $900 million in a Louisiana LNG export project and $300 million in gas turbines. This is the fifth such settlement in six months, with previous payments to TotalEnergies, Golden State Wind, Bluepoint Wind, Invenergy, and Duke Energy totaling nearly $4 billion. Critics call the arrangement an 'enormous money pump' benefiting fossil fuel interests, while the administration argues it prioritizes reliable, dispatchable power over intermittent wind energy.