The Trump administration suspended the offshore leases for five key winds farms on the East coast on Monday, citing national security concerns and potential disruptions to radar systems.
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“Due to national security concerns identified by @DeptofWar, @Interior is PAUSING leases for 5 expensive, unreliable, heavily subsidized offshore wind farms!” said Interior Secretary Doug Burgum in an X post. Burgum added that one natural gas pipeline supplies the same amount of energy as the suspended offshore wind energy projects.
Dominion, Orsted Fall as Offshore Wind Projects Halt Faces Pushback
Dominion Energy (D), one of the developers of the projects, is plunging on the news. The company pushed back against the order, saying that wind energy is “essential for American national security” and powers data centers and warship manufacturing. Ørsted (DNNGY), another developer, is down by over 10%.
Raymond James analyst Pavel Molchanov is skeptical of the administration’s concerns, saying that the effects of wind turbines on radars have been documented extensively. “We know the administration is not a fan of offshore wind, to put it mildly,” he added.
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