US Department of the Interior Pauses Five Offshore Wind Projects Over Security Concerns
The US Department of the Interior has paused five large-scale offshore wind projects along the Atlantic coast to review potential security risks, including radar interference issues. The projects affected are located off the coasts of New York, Virginia, Massachusetts, Rhode Island, and Connecticut. The pause was announced amid concerns about emerging national security risks and vulnerabilities posed by large offshore wind installations near densely populated east coast areas.
Dominion Energy's Virginia offshore wind project stated that it is situated far offshore and has not raised national security concerns. The company highlighted that its two pilot turbines have been in operation for five years without any impact, although Dominion's stock value fell more than 3% following the announcement. Shares of other companies involved in the sector also took a hit, with Orsted shares down approximately 12% and Vestas shares down about 2.6%.
Connecticut Governor Ned Lamont criticized the Department of the Interior's decision, describing the pause as erratic. He warned that such a halt could raise electricity prices, noting that the Connecticut project is nearing completion and is a source of employment for the area.
This development occurs within a broader political context. A December ruling struck down former President Donald Trump's attempt to ban new offshore wind projects as arbitrary and capricious. Previously, Trump's administration had imposed measures to halt permits and lease issuances, which subsequently led to lawsuits led by states to challenge those restrictions.
