The Trump administration’s order to pause construction of a New York wind energy project that is more than 30% complete has heightened investors’ concerns about the reliability of the U.S. renewable energy sector under the administration.
President Donald Trump has been an adversary of wind energy, particularly offshore wind projects. Last week, the Interior Department ordered a pause on the ongoing construction of the Empire Wind Project, off Long Island, to review a permit previously approved by the Biden administration.
Interior Secretary Doug Burgum claimed the previous administration rushed through the project approval process and it must now be reviewed before construction could move forward.
The administration’s action has drawn criticism from those in the renewable energy sector, who argue that efforts to revisit a permit while also pausing the construction of a project adds to the anxiety over investment in U.S. clean energy.
Katharine Kollins, the president of the Southeastern Wind Coalition, said investors were already concerned about the wind industry, given Trump’s rhetoric around offshore wind, but the action against the Empire Wind Project sends a “chilling” effect.
“Investors assume that projects, any energy project that is fully permitted and under construction, should have the ability to move forward,” Kollins said.
“When one person can decide fairly capriciously that they don’t like something for whatever reason that is and stop a project midstream, that’s incredibly concerning to investors, and those investors are going to take their money elsewhere,” she added.
The Trump administration has taken several actions aimed at the wind industry. Trump signed an executive order freezing lease sales and permit approvals for both onshore and offshore wind. The Environmental Protection Agency last month also revoked the air permit for a 1.5-gigawatt wind project in New Jersey.
Across the board, investors are pulling back, Kollins said. She said several offshore wind developers have reduced staffing because they are not seeing investment in the U.S. market.
Hillary Bright, the executive director of the nonprofit wind industry group Turn Forward, said via email that the Trump administration’s actions on the Empire Wind Project affect not only offshore wind, but also investment across the energy sector in the U.S.
“It’s paramount that the Trump Administration ensures we can trust our government to uphold the power of contracts and the stability of the regulatory process,” Bright wrote.
The New York project was being built by a Norwegian company, Equinor, which was set to begin operations in 2026 and have the wind farm fully operational by 2027. The Biden administration approved the project in November 2023, and the construction was approved in 2024.
The Empire Wind Project includes two offshore wind farms: Empire 1 in New York and Empire 2 in New Jersey. The projects combined were planned to provide more than 2 megawatts of power, supplying energy to about 700,000 homes. The Interior has only targeted the Empire 1 project.
Kollins said it is “surprising” that the Trump administration does not love offshore wind, because it meets its priorities of providing U.S. manufacturing jobs.
“These are U.S. jobs. These are jobs that people in the U.S. want,” Kollins said.
“When policies throw that much uncertainty into the development of the wind farms themselves, it makes it virtually impossible for those supply chain manufacturers to consider locating in the U.S,” she added.
In a statement to the Washington Examiner, White House spokesperson Taylor Rogers said: “While unleashing America’s energy dominance, President Trump has paused certain wind projects that are detrimental to our beloved wildlife including birds and whales. President Trump supports commonsense policies, which is why these harmful wind turbines, whose harmful environmental impacts outweigh their benefits, have been put on pause.”
The administration’s actions could prompt legal challenges by Gov. Kathy Hochul (D-NY) and Equinor. A spokesperson for Hochul told Axios last week that they are “exploring all legal options on this.”
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“Empire is engaging with relevant authorities to clarify this matter and is considering its legal remedies, including appealing the order,” Equinor told Axios.
