WASHINGTON, D.C. — The Trump administration announced an agreement to reimburse Invenergy $765 million for the termination of four offshore wind leases. Invenergy acquired these leases for approximately $800 million during the previous administration.

The canceled leases included sites in the New York Bight, off the central coast of California, and in the Gulf of Maine. The largest lease, located in the New York Bight between New Jersey and Long Island, encompassed nearly 84,000 acres. All four wind projects were in early stages of development, and Invenergy was not refunded interest paid on the lease payments or incremental development costs.

Invenergy plans to invest the $765 million reimbursement in natural gas and geothermal energy projects. The company intends to construct at least five new natural gas-fired power plants in Indiana, Wisconsin, Iowa, Kansas, and Missouri. Invenergy also plans to develop geothermal energy projects on 45 leases totaling 144,000 acres across Nevada, Idaho, California, Utah, and New Mexico.

Interior Secretary Doug Burgum stated that offshore wind projects were more financially viable under the previous administration due to tax credits for green technologies. Burgum said, "Under President Trump, companies are shifting investment back toward dependable, secure energy infrastructure that can power our economy and lower utility costs." He also said, "We applaud Invenergy for recognizing the importance of baseload power and investing in energy solutions that deliver real benefits to American consumers."

Hillary Bright, executive director of offshore wind advocacy group Turn Forward, commented on the agreement. She said, "Replacing coastal offshore wind with geothermal or natural gas infrastructure in another region does nothing to address rising ratepayer affordability concerns, reliability challenges or potential gaps in power supply in the Northeast and mid-Atlantic."

Daniel Runyan, senior vice president for development at Invenergy, noted the company's approach. He said, "We will deploy additional capital into projects that can be delivered on a commercially reasonable timeline and meet customer demand while continuing to evaluate opportunities as market conditions evolve."

The Trump administration has halted federal permitting for offshore wind projects and previously canceled a $4.9 billion federal loan guarantee for Invenergy's Grain Belt Express transmission line last year. In November, Invenergy canceled its Leading Light Wind project, which was planned to generate up to 2.4 gigawatts of electricity, citing supply chain challenges, equipment and vendor issues, and changing regulatory requirements.