California Probes Trump Administration Deal to Cancel Offshore Wind Lease
May 5, 2026
California energy officials on Monday opened an investigation into the Trump administration's agreement with an offshore wind company to cancel a planned project off the state's central coast.
The state said it was seeking information about the $120 million government payout to determine whether it violated the law.
The refunds of offshore lease payments, in exchange for fossil fuel investments, are part of a recent strategy in President Donald Trump's year-long effort to stymie the nation's young offshore wind industry.
The California Energy Commission said it had issued a subpoena to Golden State Wind LLC, a joint venture between Ocean Winds and London-based offshore wind investment firm Reventus Power. Ocean Winds is a partnership between France's ENGIE and Portugal's EDP Renewables.
"Californians deserve immediate answers about the nature of this payout," CEC Chair David Hochschild said in a statement. "Taxpayer dollars should be used to build a sustainable energy future, not to pay to make projects disappear."
California has a goal to install 25 gigawatts of offshore wind by 2045 to help meet its climate change goals. The state said it had invested more than $100 million to develop port and transmission infrastructure needed for offshore wind.
Golden State Wind and Interior Department officials were not immediately available for comment.
(Reuters - Reporting by Nichola Groom; Editing by Stephen Coates)
