Six states, led by New York, sued the Trump administration over its controversial agreement to terminate major offshore wind projects off the coasts of New York and North Carolina. The lawsuit targets a nearly $1 billion payout to French energy giant TotalEnergies, which agreed not only to halt construction but also to refrain from developing new offshore wind ventures in the US while shifting focus to oil and gas investments.
The states allege the administration’s deal breached the Outer Continental Shelf Lands Act, which limits the government's authority to cancel offshore wind leases, and the Judgment Fund Act, governing the use of federal funds for settlements and judgments. They contend the payout is an unlawful use of taxpayer money to end clean energy initiatives that would have created thousands of union jobs and supplied affordable energy to millions of Americans.
New York Attorney General Letitia James criticized the administration for attempting to undermine clean energy projects and warned that the agreement could jeopardize thousands of jobs and deny residents a sustainable energy future. The lawsuit also includes Connecticut, Maine, Massachusetts, New Jersey, Rhode Island, and Vermont, reflecting broad regional opposition to the cancellation.
Federal courts previously struck down executive orders and stop-work directives from the administration intended to halt offshore wind development, describing those moves as arbitrary and unlawful. After these setbacks, the administration negotiated this deal as an alternative approach to curbing the projects.
Interior Secretary Doug Burgum supported the deal, describing it as a victory for affordable and reliable energy, calling offshore wind costly, unreliable, environmentally disruptive, and excessively reliant on subsidies. In response, clean energy advocates condemned the arrangement. Representatives from pro-offshore wind groups highlighted the importance of homegrown, affordable energy and warned that removing such options would leave consumers with higher electricity costs.