Trump throws more obstacles in the way of offshore wind projects, with projects under construction also at risk

US President Donald Trump’s opposition to offshore wind farms is intensifying. His latest moves are putting even projects currently under construction at risk.

Offshore wind farms were part of former President Joe Biden’s fight against climate change. In 2023 and 2024, however, several developers cancelled projects because of rising construction costs, higher interest rates and supply chain problems.

Donald Trump’s return to the presidency has made the situation even worse for offshore wind projects in the US. On his very first day in office, Trump halted the leasing of federal sites for offshore wind farm development. In response, several energy analysts said they did not expect any new offshore wind projects in the next few years apart from those already under construction.

There are four operational offshore wind farms in the US. Another four projects are under construction and are expected to come online in 2025-2027. Several projects are also at an advanced stage of development.

Some analysts recently warned that projects already under construction may not be safe from attacks by the Trump administration.

“With no new projects expected to be completed beyond those under construction (which are themselves at risk), the nascent industry is in a precarious position,” analysts at US investment bank Jefferies said in a report this week.

Jefferies pointed to a planned review by the US Secretary of the Interior of leases for sites used by projects under construction, as well as a planned update from the Trump administration on ongoing lawsuits.

For example, the Coastal Virginia Offshore Wind project, which is expected to come online in 2025, is facing a lawsuit from environmental groups and other stakeholders. They argue that the project does not sufficiently account for its impact on endangered marine animals, particularly whales, or the risk of turbine failure. The Donald Trump administration will provide an update on the court case on 23 April, adding to uncertainty about the project’s future.

Other projects face similar problems. Community Offshore Wind, a joint venture between RWE and National Grid, is awaiting approval from the state of New York to obtain renewable energy certificates, which are key to the project’s continuation.

In Massachusetts and Rhode Island, the SouthCoast Wind project is facing delays in contract negotiations, with the agreements’ conclusion postponed until 30 June.

The delivery of these projects depends on legal rulings, approval from state authorities and the resolution of contractual agreements, while the entire process is also affected by current developments in federal policy and regulatory changes.