New York leads lawsuit against Trump administration’s wind lease cancellation

New York AG Letitia James and Gov. Hochul lead a lawsuit against the Trump administration for canceling an offshore wind lease.
Attorney General James Fights Back Against EPA’s Attempts to Deny Climate Change

New York Leads Coalition Against Trump Administration’s Offshore Wind Lease Cancellation

In a significant legal move, New York Attorney General Letitia James, together with Governor Kathy Hochul, has spearheaded a coalition of attorneys general from six other states in a lawsuit challenging the Trump administration’s decision to cancel a crucial offshore wind lease off New York’s coast. The lawsuit, filed against the U.S. Department of the Interior, contests the legality of a deal made in March 2026 with French energy giant TotalEnergies.

The contentious agreement saw the Trump administration agreeing to pay TotalEnergies nearly $1 billion in taxpayer funds as compensation for canceling two offshore wind leases. In return, TotalEnergies committed to investing in oil and gas projects and refrained from pursuing any new offshore wind developments in the U.S. The New York lease, initially acquired by TotalEnergies subsidiary Attentive Energy, was anticipated to supply clean energy to New York City, power over 700,000 homes, and bring substantial economic benefits to the region.

Attorney General Letitia James expressed strong opposition to the deal, stating, “The Trump administration is once again trying to kill clean energy projects and destroy good-paying jobs for New Yorkers.” She criticized the arrangement as an attempt to redirect efforts from renewable energy to fossil fuels, at the expense of taxpayers.

Governor Kathy Hochul also voiced her disapproval, calling the agreement a misuse of taxpayer money that undermines New York’s energy independence and job creation goals. She emphasized the state’s commitment to offshore wind as a vital component of its energy strategy.

In 2022, Attentive Energy had invested $795 million in obtaining the offshore wind lease, marking a record-breaking sale in the U.S. The lease was part of plans for two projects: Attentive Energy One, aimed at New York City, and another for New Jersey. The New York project alone was projected to generate $25.6 billion in economic benefits over 25 years and create approximately 1,716 jobs.

However, in 2026, the U.S. Department of the Interior unilaterally abrogated the lease, citing newfound national security concerns. This decision followed years of federal approval processes. Under the new agreement, TotalEnergies would be reimbursed $795 million from the Judgment Fund, a financial resource typically reserved for settling litigation claims, which the coalition argues was misused.

This lawsuit is the latest in a series of legal battles led by Attorney General James against the Trump administration’s attempts to hinder wind energy development. Past efforts by the administration to pause federal approvals and suspend offshore wind projects were successfully challenged in court by James and her coalition.

The coalition asserts that the lease cancellation impedes economic growth, energy supply, and climate objectives. Offshore wind is crucial for addressing the rising electricity demands of New York, particularly in urban centers like New York City. The lawsuit claims that the administration’s actions violate the Outer Continental Shelf Lands Act and the Judgment Fund Act, as the necessary legal procedures and justifications were not followed before canceling the lease.

Attorney General James, with support from attorneys general in Connecticut, Maine, Massachusetts, New Jersey, Rhode Island, and Vermont, seeks judicial intervention to annul the agreement and prevent further implementation of this controversial deal.

Original Story at ag.ny.gov