The Trump administration on Wednesday announced a reimbursement settlement agreement with power project developer Invenergy to terminate four wind leases off the coasts of New York, California and Maine.
The Department of the Interior said in a statement that it will refund $765 million to Invenergy, which will use those funds to develop natural gas power plants in four Midwestern states and geothermal projects in the Western United States.
The deal is one of several the administration has announced this year as part of a wide-ranging effort to stop development of US offshore wind projects, which it regards as costly and inefficient.
President Donald Trump's administration has sought to increase domestic fossil fuel production and scrapped policies that support "clean energy" development.
Seven US states sued the administration for reimbursements over the first such agreement, with France's TotalEnergies, earlier this month.
"We applaud Invenergy for recognising the importance of baseload power and investing in energy solutions that deliver real benefits to American consumers," Interior Secretary Doug Burgum said in a statement.
The company's senior vice president for development, Daniel Runyan, said in Interior's statement that the Chicago-based company would, "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."
(Reporting by Ryan Jones, Writing by Christian Martinez; Editing by Aurora Ellis)
