US lawmakers Alexandria Ocasio-Cortez and Ed Markey have written to Secretary of the Interior Doug Burgum, urging a halt on nearly USD 1 billion payment to TotalEnergies by the Trump administration. This payment is intended to cancel offshore wind projects off the US East Coast. They demand an explanation of the legal basis and funding source for this proposal.
The US government’s agreement with TotalEnergies involves the company exiting offshore wind development by relinquishing leases for projects off New York/New Jersey and North Carolina. The administration plans to pay approximately USD 928 million to TotalEnergies.
TotalEnergies plans to redirect this money into US oil and gas projects, including a liquefied natural gas export facility in Texas, as stated in a press release. These activities aim to support both domestic supply and European demand.
Similar arrangements with other offshore wind developers holding federal leases are reportedly under consideration by the US government.
In their letter dated 31 March, the lawmakers questioned the authority of the Department of the Interior to allocate taxpayer funds for this payment and sought clarification on Congressional approval. They claim the legal justification for the payment and the origin of the funding have not been explained.
“The TotalEnergies payoff promises an extraordinary transfer of taxpayer dollars to a foreign company to halt private offshore wind development and prop up fossil fuel exports. This has been done without authority explanation—or the funding source—to transmit $1 billion to a private company,” Ocasio-Cortez and Markey wrote.
“TotalEnergies plans to use these taxpayer-funded proceeds for expanded oil and gas development, including a Texas LNG export facility, effectively using US public funds to ship American energy overseas, strain domestic supply, and increase price volatility.”
The lawmakers also requested evidence for the administration’s claim that the offshore wind projects posed a national security threat. They noted offshore wind farms contribute to domestic energy supply and job creation.
Regarding TotalEnergies projects, the lawmakers highlighted that these could have powered over one million homes in New York/New Jersey and about 300,000 in North Carolina. They also mentioned new projects reaching milestones: Vineyard Wind 1 and Revolution Wind.
“This month, our country celebrated two offshore wind milestones: Vineyard Wind 1 completed construction off Massachusetts, and Revolution Wind began powering Connecticut and Rhode Island. Together, these projects will deliver over 1,500 megawatts of clean electricity, enough for 750,000 homes,” Ocasio-Cortez and Markey noted.
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