The Trump administration said on Monday that it had reached a deal to end two more offshore wind leases, off the coasts of New Jersey and California, in exchange for pledged investments in domestic fossil fuels.
Both projects are managed by Ocean Winds, a joint venture between France’s ENGIE and Portugal’s EDP Renewables .
The announcement comes a month after TotalEnergies reached a similar agreement to redirect $1 billion from offshore wind leases to U.S. oil and gas production.
Golden State Wind, off California’s central coast, is a joint venture between Ocean Winds and Reventus Power.
Bluepoint Wind, off the coast of New Jersey and New York, is a partnership between Ocean Winds and BlackRock’s Global Infrastructure Partners.
The Interior Department said in a statement that Global Infrastructure Partners had agreed to invest $765 million, the bid amount for Bluepoint wind, in a U.S. liquefied natural gas facility.
Golden State Wind will be able to recover $120 million in lease fees after it invests a similar amount in oil and gas, energy infrastructure or LNG projects, the agency said.
Engie said last week that it was in talks with the administration about a possible refund for its offshore wind leases. It had paused three projects in development and booked impairments.
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Reporting by Nichola Groom
This article originally appeared on The Detroit News: U.S. to end two more offshore wind leases for fossil fuel investments
Reporting by Reuters / The Detroit News
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