US strikes $1.2bn deal to pay German firm to halt offshore wind projects
The US Department of the Interior has agreed to pay German energy company RWE $1.2bn (£892m) to abandon several offshore wind projects in American waters. The deal reflects the Trump administration’s wider effort to stop offshore wind development and redirect energy investment towards fossil fuels, particularly gas and oil.
RWE will give up leases off California, Louisiana and in the New York Bight, saying it sees no foreseeable route to securing permits. It plans to put $900m (£669m) of the payment into a Louisiana LNG export terminal and says it will invest about €17bn (£14.5bn; $19.6bn) in US generation capacity over six years; similar agreements have already been made with TotalEnergies and Duke Energy.
- RWE will abandon US offshore wind projects for a $1.2bn government payout.
- Much of the money will be redirected into a Louisiana LNG project.
- The deal advances Trump’s push towards fossil fuels.