In a dramatic policy reversal late Wednesday evening, the Trump administration ordered an immediate halt to all construction activities on Equinor’s flagship offshore wind project, Empire Wind, located off the coast of New York. The decision, announced via social media by USA Interior Secretary Doug Burgum, has sent shockwaves through the renewable energy sector both in the United States and in Europe.
Empire Wind 1 suspended, despite prior approvals
Construction on Empire Wind 1, which began following its federal approval in 2024, is now suspended pending a review of the permitting process. According to Burgum, the Bureau of Ocean Energy Management (BOEM) is to investigate claims that the Biden administration had rushed the project’s approval without sufficient environmental and regulatory analysis.
“We were notified via the media and only later received a formal letter from BOEM instructing us to temporarily stop all offshore activities related to turbine installation,” said Equinor’s communications director Sissel Rinde in a statement to Norwegian outlet TV 2.
Equinor had signed a 25-year contract with the New York State Energy Research and Development Authority (NYSERDA) in June 2024. The company has invested heavily in the project, with Dagens Næringsliv reporting over NOK 60 billion (approx. €5.2 billion) committed to Empire Wind 1 alone, including tax credits. Financing exceeding NOK 30 billion (approx. €2.6 billion) had already been secured.
Norwegian officials express concern
The abrupt decision has triggered reactions from Norwegian political and business leaders. Ingvild Kjerkol (Ap), chair of the Norwegian Parliament’s Energy and Environment Committee, warned that the move undermines trust and stability in cross-border investments.
“Withdrawing legally granted permits and halting projects already underway is yet another sign of the uncertainty and political risk now associated with the new administration,” said Kjerkol.
Norwegian Minister of Trade and Industry Cecilie Myrseth (Ap) confirmed ongoing dialogue with Equinor, stating, “We are in contact with the company, and I refer to their public statements on the matter.”
Reactions in the USA: divided and politicized
New York Governor Kathy Hochul condemned the decision, calling it an attack on job creation and clean energy.
“This is a fully federally approved project with construction already underway. I will fight this every step of the way to protect jobs, affordable power, and New York’s economic future,” Hochul declared.
However, political responses in the USA are split. Bruce Blakeman, Republican leader of Nassau County, praised Trump’s move, citing concerns over environmental and community impacts. The American Clean Power Association‘s CEO, Jason Grumet, criticized the reversal, saying, “Re-evaluating permits post-launch sends a chilling message to all energy investors.”
Analysts warn of long-term risks
Experts are now questioning the reliability of the USA energy regulatory framework. Professor Jørgen Juel Andersen of BI Norwegian Business School noted, “Trump has never prioritized climate concerns, but this kind of policy zigzagging—particularly in breach of signed contracts—creates serious unpredictability and deters investors.”
He added that the USA debate over offshore wind mirrors similar conflicts in Norway, where environmental concerns often clash with energy development goals.
Broader implications for offshore wind sector
Empire Wind was intended to be a cornerstone of USA offshore wind expansion, scheduled to become operational in 2027. Equinor also holds the rights to Empire Wind 2, which has yet to begin construction. A related project to upgrade a turbine assembly terminal in Brooklyn is still underway and not affected by the current suspension.
Equinor remains committed to clarifying the situation with USA authorities and has not yet commented on the financial or operational consequences of the halt.
As the Trump administration signals a broader review of offshore wind permits, uncertainty looms over the future of clean energy development in the United States.
