States Challenge Wind Buyouts
Eight States Sue Trump Administration Over $1.4 Billion Offshore Wind Buyouts
Anonymous
California and New York, joined by other Democratic-led states, sued the current Trump administration over agreements to cancel offshore wind projects and buy back companies’ federal leases. The lawsuits challenge deals involving Invenergy and Bluepoint Wind that would provide energy companies $1.4 billion in taxpayer funds, as part of nearly $4 billion pledged nationwide to terminate offshore wind developments. California officials described the Invenergy agreement as an unlawful buyout, saying it would provide as much as $765 million for projects in California, the New York Bight and the Gulf of Maine while redirecting investment toward fossil-fuel facilities. The states argue the cancellations undermine clean-energy development, threaten efforts to meet rising electricity demand and could increase consumers’ power bills. The Trump administration has sought to discourage offshore wind in favor of fossil fuels, while President Trump has repeatedly opposed wind projects.
Key Points
1
California Attorney General Rob Bonta and the California Energy Commission filed their lawsuit against both the Trump administration and Invenergy, characterizing the agreement as an “unlawful buyout.”
2
Invenergy had paid more than $111 million in 2022 for the California offshore lease and intended to develop up to two gigawatts of wind-power capacity there before the administration agreed to terminate the lease.
3
The California lawsuit says the administration’s description of the Invenergy arrangement as a settlement is a “sham” intended to bypass rules Congress established for federal spending and lease management.
4
California officials said the Invenergy settlement would direct money toward natural-gas-fired power plants in Indiana, Wisconsin, Iowa, Kansas and Missouri, rather than exclusively supporting the projects affected by the lease cancellations.
5
New York Attorney General Letitia James’s legal challenge to the Invenergy and Bluepoint agreements was joined by seven states, while Bluepoint had agreed in April to end a wind farm being developed off New York and New Jersey.
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