{"id":7198,"date":"2026-08-06T18:30:09","date_gmt":"2026-08-06T18:30:09","guid":{"rendered":"https:\/\/www.usglobalnews.com\/?p=7198"},"modified":"2026-08-06T18:30:09","modified_gmt":"2026-08-06T18:30:09","slug":"trump-administration-to-pay-german-firm-1-22bn-to-cut-offshore-wind-leases","status":"publish","type":"post","link":"https:\/\/www.usglobalnews.com\/?p=7198","title":{"rendered":"Trump administration to pay German firm $1.22bn to cut offshore wind leases"},"content":{"rendered":"<div data-gu-name=\"media\" class=\"dcr-14sl0e4\">\n<div class=\"dcr-17l77cs\">\n<figure id=\"da70bdb8-2219-4933-8f2b-f3e8d7a1d336\" class=\"dcr-191xnya\">\n<div id=\"img-1\" class=\"dcr-1t7hdmw\"><img decoding=\"async\" alt=\"offshore wind turbines\" src=\"https:\/\/i.guim.co.uk\/img\/media\/8a92dfdd60bcefdb07b96d3b5d964ab1ccf31f39\/0_0_4103_2735\/master\/4103.jpg?width=465&amp;dpr=1&amp;s=none&amp;crop=none\" width=\"465\" height=\"309.96222276383133\" loading=\"eager\" class=\"dcr-up96pv\"><span class=\"dcr-kogzpx\"><\/p>\n<div class=\"dcr-18mnkpm\">\n<div class=\"dcr-1294qmb\"><label for=\"the-checkbox\" class=\"dcr-4sl2vt\"><\/label> <\/p>\n<div id=\"the-caption\"><figcaption data-spacefinder-role=\"inline\" class=\"dcr-1mfxiaj\"><span class=\"dcr-13i4yc9\"><\/span><span class=\"dcr-1cipnsy\">Wind turbines, including some from RWE&#8217;s new Kaskasi offshore wind farm, are pictured during the opening of the RWE-Offshore-Windpark Kaskasi, north of Helgoland, Germany, March 23, 2023.<\/span> Photograph: Christian Charisius\/Reuters<\/figcaption><\/div>\n<\/div>\n<\/div>\n<p><\/span><a href=\"#img-1\" data-ignore=\"global-link-styling\" class=\"open-lightbox dcr-zwabc0\" aria-hidden=\"true\"><button data-element-id=\"da70bdb8-2219-4933-8f2b-f3e8d7a1d336\" type=\"button\" class=\"open-lightbox dcr-1bitgpn\" aria-haspopup=\"dialog\"><span class=\"dcr-1shbixy\">View image in fullscreen<\/span><\/button><\/a><\/div>\n<p><span class=\"dcr-qda0hp\"><figcaption data-spacefinder-role=\"inline\" class=\"dcr-1e9iiy9\"><span class=\"dcr-13i4yc9\"><\/span><span class=\"dcr-1cipnsy\">Wind turbines, including some from RWE&#8217;s new Kaskasi offshore wind farm, are pictured during the opening of the RWE-Offshore-Windpark Kaskasi, north of Helgoland, Germany, March 23, 2023.<\/span> Photograph: Christian Charisius\/Reuters<\/figcaption><\/span><\/figure>\n<\/div>\n<\/div>\n<div data-gu-name=\"headline\" class=\"dcr-ql9l8l\">\n<div class=\"dcr-6mja0y\">\n<h1 class=\"dcr-l0wuod\">Trump administration to pay German firm $1.22bn to cut offshore wind leases<\/h1>\n<\/div>\n<\/div>\n<div data-gu-name=\"standfirst\" class=\"dcr-1xpojbf\">\n<div class=\"dcr-1gm5ptv\">\n<p>Agreement with RWE is fifth deal Trump team has made with energy companies, offering payouts to give up projects<\/p>\n<\/div>\n<\/div>\n<div data-gu-name=\"body\" class=\"dcr-x1al2c\">\n<div class=\"dcr-11gq2tx\">\n<div id=\"maincontent\" class=\"dcr-1w2vkyc\">\n<div class=\"article-body-commercial-selector article-body-viewer-selector dcr-ogvvui\">\n<p class=\"dcr-1s160rg\">The German energy company RWE has reached a $1.22bn deal with the US government to relinquish its offshore wind leases and instead redirect funds towards fossil fuel investments.<\/p>\n<p class=\"dcr-1s160rg\">The agreement marks the fifth deal the Donald Trump administration <a href=\"https:\/\/www.theguardian.com\/us-news\/2026\/jul\/10\/bills-trump-clean-energy-coal\" data-link-name=\"in body link\">has struck with energy companies<\/a>, offering payouts in exchange for abandoning renewable energy projects and redirecting investment towards fossil fuels.<\/p>\n<p class=\"dcr-1s160rg\">This latest deal takes it to almost $4bn of taxpayer money spent on killing offshore wind projects.<\/p>\n<p class=\"dcr-1s160rg\"><a href=\"https:\/\/www.rwe.com\/en\/press\/rwe-americas\/2026-08-06-rwe-us-offshore-reaches-settlement-with-doi-on-offshore-wind-leases\/\" data-link-name=\"in body link\">Announcing the deal<\/a> with the US interior department on Thursday, RWE said it had agreed to give up its offshore wind leases off the coasts of New York, California and Louisiana.<\/p>\n<p class=\"dcr-1s160rg\">\u201cAfter careful consideration, it was determined there is no path forward to permit these projects in the US for the foreseeable future,\u201d the company said, referring to the leases it initially secured with a \u201clong-term commitment to develop offshore wind capacity\u201d.<\/p>\n<p class=\"dcr-1s160rg\">RWE paid $1.1bn for its New York lease in a 2022 auction held by the Joe Biden administration, while its leases in Louisiana and California cost a combined $163m, Reuters <a href=\"https:\/\/www.reuters.com\/legal\/litigation\/rwe-says-reached-122-bln-deal-cancel-us-offshore-wind-leases-invest-gas-2026-08-06\/\" data-link-name=\"in body link\">reports.<\/a><\/p>\n<p class=\"dcr-1s160rg\">\u201cThe settlement resolves RWE US Offshore\u2019s legal claims and provides $1.22 billion in settlement funds,\u201d RWE continued, adding that the deal will allow it to \u201cdirect resources toward energy projects that can be advanced with certainty.\u201d<\/p>\n<p class=\"dcr-1s160rg\">As part of the agreement, RWE will spend $900m to acquire a 16% stake in an unnamed Louisiana liquified natural gas (LNG) project. The company said the settlement proceeds will be used to fund construction of the terminal.<\/p>\n<p class=\"dcr-1s160rg\">RWE has also signed a $300m turbine reservation agreement under which it will develop a pipeline of 15 natural gas peaker plants across the country.<\/p>\n<p class=\"dcr-1s160rg\">The interior secretary, Doug Burgum hailed the deal, saying on Thursday: \u201cWe welcome RWE\u2019s agreement and voluntary investment in projects that strengthen our nation\u2019s energy security, provide dependable baseload power, and help keep electricity affordable for hardworking Americans today while supporting our country\u2019s long-term energy future.\u201d<\/p>\n<p class=\"dcr-1s160rg\">The RWE agreement appears to be the largest deal the <a href=\"https:\/\/www.theguardian.com\/us-news\/trump-administration\" data-link-name=\"in body link\" data-component=\"auto-linked-tag\">Trump administration<\/a> has struck with an energy company to kill clean energy projects. Earlier agreements with other companies, including TotalEnergies and Duke Energy, amounted to $2.7bn in taxpayer money.<\/p>\n<p class=\"dcr-1s160rg\">Following the Trump administration\u2019s <a href=\"https:\/\/www.theguardian.com\/us-news\/2026\/mar\/23\/trump-administration-wind-project-plan\" data-link-name=\"in body link\">$928m deal <\/a>with French energy company TotalEnergies to cancel its offshore wind lease off the coast of New York, seven states, including New York, sued the administration over what the New York attorney general, Letitia James, <a href=\"https:\/\/ag.ny.gov\/press-release\/2026\/attorney-general-james-and-governor-hochul-announce-lawsuit-challenging-unlawful\" data-link-name=\"in body link\">described<\/a> as a \u201csham deal\u201d and \u201cillegal agreement\u201d.<\/p>\n<p class=\"dcr-1s160rg\">The administration has also spent up to $1.1bn to boost coal, a move <a href=\"https:\/\/www.theguardian.com\/us-news\/2026\/jul\/10\/bills-trump-clean-energy-coal\" data-link-name=\"in body link\">critics argue<\/a> is \u201cfattening the wallets of his cronies\u201d while raising working Americans\u2019 energy bills, particularly as the US\u2019s war on Iran <a href=\"https:\/\/www.theguardian.com\/world\/2026\/jul\/16\/us-gas-prices-rise-strait-of-hormuz\" data-link-name=\"in body link\">drives up<\/a> fuel prices.<\/p>\n<p class=\"dcr-1s160rg\">At the same time, the federal government is seeking to <a href=\"https:\/\/www.theguardian.com\/us-news\/2026\/jun\/29\/fossil-fuel-federal-lands-public-input\" data-link-name=\"in body link\">slash public input periods<\/a> for fossil fuel drilling on federal lands while shifting more of the financial risks of cleanup to taxpayers.<\/p>\n<p class=\"dcr-1s160rg\">Meanwhile, a report released last fall by the Environmental Integrity Project found that every fully operational LNG facility in the US had <a href=\"https:\/\/www.theguardian.com\/us-news\/2025\/oct\/29\/liquefied-natural-gas-terminal-pollution-limits\" data-link-name=\"in body link\">violated federal pollution limits<\/a> in recent years.<\/p>\n<p class=\"dcr-1s160rg\">According to the nonprofit research organization, violations included the discharge of illegal amounts of bacteria, zinc, oil and other pollutants into waterways, as well as failures of terminal managers to submit monitoring reports for waterway discharge.<\/p>\n<\/div>\n<\/div>\n<div data-print-layout=\"hide\" class=\"dcr-swayiu\"><span class=\"dcr-1xhbmzr\">Explore more on these topics<\/span><\/p>\n<div class=\"dcr-2c03t5\">\n<ul class=\"dcr-p7nd18\">\n<li class=\"dcr-r721ee\"><a href=\"\/us-news\/trump-administration\" class=\"dcr-856iwi\">Trump administration<\/a><\/li>\n<li class=\"dcr-r721ee\"><a href=\"\/environment\/renewableenergy\" class=\"dcr-856iwi\">Renewable energy<\/a><\/li>\n<li class=\"dcr-r721ee\"><a href=\"\/environment\/energy\" class=\"dcr-856iwi\">Energy<\/a><\/li>\n<li class=\"dcr-r721ee\"><a href=\"\/tone\/news\" class=\"dcr-856iwi\">news<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"dcr-313bdz\"><a href=\"mailto:?subject=Trump%20administration%20to%20pay%20German%20firm%20$1.22bn%20to%20cut%20offshore%20wind%20leases&amp;body=https:\/\/www.theguardian.com\/us-news\/2026\/aug\/06\/rwe-deal-wind-leases?CMP=share_btn_url\" class=\"dcr-ncybeu\">Share<\/a><\/p>\n<div class=\"dcr-19bkree\"><a data-link-name=\"meta-syndication-article\" href=\"https:\/\/syndication.theguardian.com\/?url=https%3A%2F%2Fwww.theguardian.com%2Fus-news%2F2026%2Faug%2F06%2Frwe-deal-wind-leases&amp;type=article&amp;internalpagecode=us-news\/2026\/aug\/06\/rwe-deal-wind-leases\" target=\"_blank\" rel=\"noreferrer\" title=\"Reuse this content\" class=\"dcr-1c41onw\">Reuse this content<\/a><\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<div data-gu-name=\"right-column\" class=\"dcr-1kq7f60\"><span class=\"dcr-1ryr20k\"><\/span><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Wind turbines, including some from RWE&#8217;s new Kaskasi offshore wind farm, are pictured during the opening of the<\/p>\n","protected":false},"author":0,"featured_media":7200,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-7198","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us-news"],"_links":{"self":[{"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/posts\/7198","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=7198"}],"version-history":[{"count":1,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/posts\/7198\/revisions"}],"predecessor-version":[{"id":7201,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/posts\/7198\/revisions\/7201"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=\/wp\/v2\/media\/7200"}],"wp:attachment":[{"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7198"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7198"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.usglobalnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7198"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}