The administration of US president Donald Trump has continued a scheme to buyback previously sold offshore wind leases with a fourth purchase.
The US Department of the Interior announced it had reached a settlement with American energy company Duke Energy, paying $129 million in return for acreage in the Carolina Long Bay.
Secretary of the interior Doug Burgum called the agreement “a win-win scenario that has become a hallmark for how the Trump administration operates”.
Under the deal, the company will reinvest the money in new generating capacity, with Duke Energy’s executive vice-president saying that may “include advancing new nuclear and natural gas generation, and grid enhancements to strengthen reliability, support continued growth in the Carolinas and keep costs as low as possible”.
Trump’s attempts to stop the development of the US’s nascent offshore wind sector in the courts have been scuppered in recent months. Lawsuits aimed at stopping five projects are currently pending, though work on them has been allowed to progress.
And a challenge against his flagship executive order halting all offshore wind leasing and permitting activity has proven successful, though it is unlikely that a Trump Department of the Interior will be rushing to offer more leases for sale any time soon.
Instead, he has been buying back leases offered under the administration of his predecessor, Joe Biden, offshore New York, California and the Carolinas.
So far, TotalEnergies has received around $1bn for two lease areas, Ocean Winds and its partners were paid $885m for two leases, and paying Invenergy $765m for a total of four leases.
Each time, the companies have promised to invest the funds in other energy sources, including LNG and gas-powered plants.
Michael Behr is renewables reporter at Energy Voice. He’s been reporting on energy globally for over 10 years, now focussing on the technologies driving the UK’s energy transition.
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