Eastern States Challenge Trump's Offshore Wind Lease Cancellations

New York and seven eastern states sued the U.S. Department of Interior over canceled offshore wind leases, blocking clean energy projects that would have addressed grid stress.

New York and seven other eastern states filed lawsuits against the U.S. Department of Interior on September 23, 2026, challenging lease cancellations of offshore wind projects. The legal actions target payments totaling over $1.5 billion: $765 million to Ocean Winds/Global Infrastructure Partners for a 2.4-gigawatt project near New York and New Jersey, $653 million to Invenergy for similar projects in New York, New Jersey, and Maine, and $111 million to Invenergy for a California Central Coast project. The lawsuits allege violations of the Outer Continental Shelf Lands Act, which requires federal consultation with states before leasing offshore energy sites. They also claim the Department of Interior improperly used funds from the federal Judgment Fund—meant for lawsuit settlements—to finance lease buyouts. These projects were part of New York’s planned offshore wind capacity to counter grid stress and rising energy costs. The Trump administration’s actions included halting construction, rescinding tax credits, and canceling leases as part of a broader policy shift. What to watch: The lawsuits’ success could force federal consultation with states on offshore energy projects, but the source notes the September 23, 2026 date appears future-dated in the original text, and the $4 billion figure referenced in the source lacks explicit project breakdowns.

Source: Canary Media