Why did the Trump administration pay $1 billion to cancel wind energy leases?

The Interior Department paid TotalEnergies $1 billion to surrender two offshore wind leases, framing it as protecting fisheries and coastal economies. Critics called it a fossil fuel subsidy. TotalEnergies confirmed the proceeds will fund a Texas LNG plant.

How much offshore wind capacity was affected?

The American Clean Power Association estimated the cancelled TotalEnergies leases represented approximately 2.4 gigawatts of planned capacity — enough to power around 800,000 homes.

Why is Harvard being investigated by the federal government?

The Education Department opened two investigations: one into whether Harvard has adequately addressed campus antisemitism under Title VI of the Civil Rights Act, and a second into its admissions practices. Harvard said the actions are retaliatory.

What does canceling offshore wind leases mean for electricity prices?

Removing 2.4 gigawatts of planned offshore capacity from the development pipeline is likely to put upward pressure on grid electricity prices in the northeastern U.S. over the next decade, particularly as older generation plants retire.

Can states challenge the federal offshore wind lease cancellations?

Yes. Attorneys general from Massachusetts, Connecticut, and New York were expected to announce legal challenges, arguing that state-level offshore wind energy contracts depend on federal lease continuity. Litigation could take years to resolve.

Trump Pays $1 Billion to Kill U.S. Offshore W…

The Interior Dept. is paying TotalEnergies $1B to cancel 2.4 GW of Atlantic offshore wind leases. The Education Dept. opened two simultaneous federal investigations into Harvard.

The Trump administration executed two high-profile domestic policy moves on March 24, 2026, that together illustrate the breadth of its campaign to reshape American energy production and university governance. The Interior Department confirmed it will pay $1 billion to French energy giant TotalEnergies to surrender two offshore wind leases off the U.S. Atlantic coast. Hours later, the Education Department announced it is opening two separate federal investigations into Harvard University — one focused on campus antisemitism, the second on admissions practices.

The offshore wind buyout is without precedent in U.S. energy policy. TotalEnergies CEO Patrick Pouyanné confirmed in a statement that the returned lease fees will finance construction of a liquefied natural gas facility in Texas — a direct substitution, in financial terms, of offshore renewable capacity for onshore fossil fuel infrastructure. The Interior Department framed the transaction as "protecting American fisheries and coastal economies"; environmental groups immediately characterized it as a billion-dollar subsidy to fossil fuel interests disguised as a lease cancellation.

The practical consequence is the removal of two significant Atlantic offshore wind projects from the development pipeline at a moment when U.S. offshore wind capacity is already far behind the buildout targets set under the previous administration. The American Clean Power Association estimated the scrapped leases represented approximately 2.4 gigawatts of planned capacity — enough electricity to power roughly 800,000 homes. Analysts at Wood Mackenzie noted that the buyout price of $1 billion is "broadly consistent" with the commercial value TotalEnergies would have sought in a market sale, suggesting the administration paid full market rate to exit a deal it ideologically opposed.

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Trump Pays $1 Billion to Kill U.S. Offshore Wind Leases as Harvard Faces Two New Federal Investigations

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Trump Pays $1 Billion to Kill U.S. Offshore Wind Leases as Harvard Faces Two New Federal Investigations

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