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Science & Environment

California and New York challenge Trump admin's $1.4 bn offshore wind lease buybacks

Reported by Shreya Kapoor (Senior Writer) · The Guardian - Environment ·

Unconfirmed — Reported by one source so far

Reported by one source so far

Worth knowing
California and New York challenge Trump admin's $1.4 bn offshore wind lease buybacksRepresentative image · Wikimedia Commons

Democratic attorneys general from California and New York have sued the Trump administration over a plan to buy back offshore wind leases worth $1.4 billion. The lawsuits target the Interior Department’s June decision to repurchase four offshore wind projects owned by Chicago‑based Invenergy on both coasts. New York Attorney General Letitia James also leads a coalition of seven states that is fighting the Invenergy deal and a separate agreement with Bluepoint Wind that would end a wind farm off New York and New Jersey. James called the deals illegal, saying they will raise electricity bills by diverting money to fossil‑fuel projects instead of clean energy. "Americans are facing increasing energy costs because this administration would rather pay off energy companies than let us build the new power sources we need," she said. California Attorney General Rob Bonta filed his suit over the removal of an Invenergy project off California’s coast, arguing that the state cannot afford to fight the federal government on climate action. Bonta warned that constant court battles slow the transition to clean power and that California must stay aggressive on climate. The Interior Department began buying back leases in March after federal courts blocked Trump’s earlier attempt to halt offshore wind through an executive order. In return for lease reimbursements, companies are shifting investment toward fossil fuels and geothermal, a move Interior Secretary Doug Burgum said will keep energy reliable and lower utility costs. The administration has pledged nearly $4 billion to companies to abandon projects nationwide. State energy leaders, including California Energy Commission chair David Hochschild and New York energy research chief Doreen Harris, said the legal fight is essential to protect state‑run grid reliability and keep wind development alive.

ExplainerWhy this matters

What Happened

The Trump administration announced it would buy back offshore wind leases, paying $1.4 bn to cancel four projects owned by Invenergy and another deal with Bluepoint Wind. California and New York attorneys general, joined by six other states, sued to block the payments.

Why It Matters

Cancelling wind projects slows the shift to clean energy, keeping reliance on coal, gas and other fossil fuels. The money meant for renewable development instead funds projects that emit more carbon, which could raise electricity costs for consumers and make climate goals harder to meet.

What Happens Next

The lawsuits will proceed through the federal courts. If the states win, the buyback payments could be halted and the wind projects may resume, restoring the path to clean power. If the administration’s plan stands, the canceled projects will likely be replaced by fossil‑fuel or geothermal investments, and the states may seek further legal or legislative actions to protect renewable energy development.

Read more at The Guardian - Environment →