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US, TotalEnergies to shift nearly $1 billion from wind to oil and gas

The Trump administration reimbursed TotalEnergies $928 million to cancel offshore wind leases off New York and North Carolina, redirecting funds to fossil fuel projects in the U.S.

  • On Monday, Interior Secretary Doug Burgum and TotalEnergies CEO Patrick Pouyanne signed an agreement terminating two offshore wind leases off New York and North Carolina, with the government reimbursing the company about $928 million contingent on reinvesting funds into U.S. fossil fuel projects.
  • This agreement follows repeated failed attempts by the Trump administration to halt offshore wind construction through court-ordered stop-work orders, as President Donald Trump has long criticized offshore wind as unreliable and expensive.
  • TotalEnergies will redirect the reimbursed funds into U.S. oil, natural gas, and LNG projects in Texas and the Gulf of Mexico, despite the canceled leases originally being intended to power more than 1 million homes.
  • Environmental groups and state officials condemned the deal as an "outrageous misuse of taxpayer dollars," with New York Governor Kathy Hochul calling it a "pay-not-to-play scheme" that prioritizes fossil fuels over clean energy.
  • Industry experts suggest this buyout strategy marks a shift after previous legal setbacks, though the returned lease areas remain federal property, potentially allowing future administrations to offer these sites for development.
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Wind power will continue to grow, despite Trump administration's attempts to halt renewable energy: Experts

A general view of wind turbines at the Saint-Nazaire offshore wind farm, off the coast of the Guerande peninsula in western France, in Batz-sur-Mer, on December 3, 2025. (Photo by Jerome Gilles/NurPhoto via Getty Images) (NEW YORK) — Wind power production will continue to advance, despite the Trump administration’s attempts to halt the growing momentum of renewable energy, experts told ABC News. On Monday, the U.S. Department of the Interior rea…

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Reuters broke the news in United Kingdom on Monday, March 23, 2026.
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