News

Trump Administration Lifts Ban on Empire Wind Offshore Wind Project off New York Coast

By Sama Marwan,

New York, USA – Norwegian energy company Equinor has announced that the Trump administration has lifted the work stoppage order, which had been in place for a month, on a major offshore wind project off the coast of New York.1 This decision allows for the resumption of construction activities on the $5 billion “Empire Wind” project, which is expected to provide electricity to half a million homes in New York in the future.2

“I would like to thank President Trump for finding a solution that preserves thousands of American jobs and allows for continued investment in energy infrastructure within the United States,” said Equinor CEO Anders Opedal in a statement reported by Bloomberg. He also thanked his country’s leadership, noting that Norwegian Prime Minister Jonas Gahr Støre and Finance Minister Jens Stoltenberg had raised the issue during their meeting with President Trump in Washington last month.

Opedal also pointed out that New York Governor Kathy Hochul played a significant role in getting the project back on track.

The U.S. Department of the Interior, which issued the work stoppage order in April, has not issued an immediate comment.

Equinor stated that it will conduct an updated economic assessment of the project during the second quarter of the year, aiming to begin offshore installation work in 2025 and achieve full commercial operation by 2027.

The Norwegian company had been spending approximately $50 million per week to keep the project afloat during the suspension period and will now work in coordination with suppliers and regulatory bodies to mitigate the impact of the delays.

This decision represents a crucial breakthrough for the offshore wind energy industry, after Equinor warned of potential multi-billion dollar losses due to the work stoppage.4 This had raised widespread concerns in the sector about the fate of fully permitted projects that remain vulnerable to regulatory risks.

Equinor’s acquisition of the Empire Wind project license dates back to 2017 during Trump’s first term, while the project received official approval during the Biden administration in 2023. The project has a capacity of 810 megawatts, according to the company.

The National Ocean Industries Association (NOIA) welcomed the administration’s decision, stating that it “paves the way for significant investments to move forward – stimulating American shipyards, providing high-quality jobs, and accelerating the creation of the infrastructure necessary to provide reliable and domestic energy to the East Coast.”

Currently, there are three operational offshore wind farms in the United States. Three others, in addition to Empire Wind, are under construction. Danish company Ørsted owns two of these: Sunrise Wind off the coast of New York, and Revolution Wind off the coast of Rhode Island. Dominion Energy is developing the Coastal Virginia Offshore Wind project.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button