US Cancels Wind Projects, Funds Oil in $928M Deal
Why this is here: Total Energies is receiving nearly one billion dollars after abandoning wind energy projects, and will instead invest that capital into oil and gas within the US.
The US government agreed to a deal with Total Energies, canceling offshore wind projects and funding oil investments. Total Energies will receive $928 million and will forgo plans to build wind parks off the coasts of New York and North Carolina. The company originally paid for concessions under the Biden administration for wind farms that would have powered 1.3 million homes.
Total Energies committed to investing $1 billion into oil and gas projects in Texas as part of the agreement. The company’s CEO, Patrick Pouyanné, stated the decision reflects current US interests. He indicated oil and gas investments are a more efficient use of capital at this time.
Trump’s administration halted all pending wind projects. Five wind farms already under construction will be completed due to existing court rulings. Virginia’s new wind park, the largest in the US, began operations on Monday and now supplies clean energy to 660,000 households.