Trump Becomes More Anti-Clean Energy, Opts to Pay Hefty Fine to Halt Wind Turbine Project
The administration of US President Donald Trump has chosen to pay compensation of around $1 billion, or approximately Rp16.8 trillion, to halt a wind energy project. This decision has sparked criticism for being seen as hindering the transition to clean energy.
The agreement was made with TotalEnergies, which had previously been developing an offshore wind farm project in North Carolina and New York. The compensation funds are being redirected to investments in the oil and gas sector.
The US Department of the Interior stated that the company will return the lease rights for the project and redirect investments to fossil energy. This move further solidifies the direction of the Trump administration’s energy policy.
TotalEnergies CEO Patrick Pouyanne said the offshore wind project is being relinquished in exchange for compensation. “Considering the development of the offshore wind power plant project is not in the interest of that country,” Pouyanne stated in his remarks, as quoted from Daily Sabah on Tuesday (24/3/2026).
Pouyanne added that the funds will be used for building a liquefied natural gas refinery in Texas as well as expanding the oil and gas business. He described the move as a more efficient use of capital.
US Interior Secretary Doug Burgum said the government supports investments in energy deemed more stable and affordable.
“We welcome TotalEnergies’ commitment to developing projects that produce reliable and affordable electricity for low-income American households,” Burgum said.
This policy runs counter to the previous direction under President Joe Biden’s era, which promoted wind energy as a solution to the climate crisis. Since the beginning of his term, Trump has prioritised the production of oil, gas, and coal.
Several offshore wind energy projects were previously halted by the government on national security grounds. However, a federal judge later ruled that the projects could proceed as no risk was proven.
Amid this policy, Dominion Energy continues to operate the Coastal Virginia Offshore Wind project, which has begun supplying electricity to the grid in Virginia.
Environmental groups have condemned the agreement. They view the policy as detrimental to efforts to provide clean energy and slowing down the handling of climate change.
Clean Energy Director at the Environmental Defence Fund, Ted Kelly, said the decision burdens the public. “This is a misuse of American taxpayers’ money to have clean and affordable electricity when they need it most,” Kelly said.
The halted project actually had significant capacity. Carolina Long Bay was designed to generate more than 1 gigawatt of electricity for around 300,000 homes.
Meanwhile, the projects in New York and New Jersey have the potential to generate up to 3 gigawatts of clean electricity for nearly one million homes.