Trump derails New Jersey’s Offshore Wind Plans, Temporarily Halting New Offshore Energy Leases

Trump derails New Jersey's Offshore Wind Plans, Temporarily Halting New Offshore Energy Leases
FILE PHOTO: A view of the turbines at Orsted's offshore wind farm near Nysted

TRENTON, N.J.President Donald J. Trump issued an executive order on Monday temporarily banning new offshore wind energy leases and halting federal permits for existing projects, sparking concerns in New Jersey, where the burgeoning offshore wind industry is integral to the state’s clean energy goals.

The order, titled “Temporary Withdrawal of All Areas on the Outer Continental Shelf from Offshore Wind Leasing and Review of the Federal Government’s Leasing and Permitting Practices for Wind Projects,” directs a suspension of all offshore wind leasing on the Outer Continental Shelf (OCS) starting January 21, 2025. It also calls for a comprehensive review of the environmental, economic, and national security impacts of wind projects.

Governor Phil Murphy, who has made offshore wind a centerpiece of New Jersey’s clean energy plan, expressed concern about the potential impacts on jobs and the state’s transition to renewable energy. New Jersey had planned to power 3.2 million homes with offshore wind by 2035 and is home to key projects, including Ørsted’s Ocean Wind farms.

The order does not affect existing leases but directs the Department of the Interior to review their legality and environmental impact, raising questions about the future of projects already underway. Federal agencies are also tasked with assessing the environmental impact of wind turbines, including risks to marine life and costs associated with decommissioning defunct windmills.

Advocates for the offshore wind industry argue the moratorium threatens economic development in coastal states and undermines efforts to combat climate change, while critics of the industry have raised concerns about impacts on fishing, navigation, and energy costs.