Trump Administration Suspends Five Offshore Wind Projects
On December 22nd 2025, the U.S. Department of the Interior issued a three-month suspension of construction activities at five major offshore wind farms currently being developed along the East Coast - Vineyard Wind in Massachusetts; Revolution Wind for Rhode Island and Connecticut; Sunrise Wind (New York City), Empire Wind (New York), Sunrise Wind in Virginia as well as Coastal Virginia Offshore Wind (Virginia). They all face suspension for national security reasons with spinning blades potentially interfering with radar signals while reflecting towers may pose risks due to classified reports that could pose risks from spinning blade interference issues between radar systems in which structures.
The suspension represents one of the harshest actions taken by the Trump administration against offshore wind, following various policy actions throughout 2025. With its three-month duration containing potential for extension by the federal government, this action creates significant uncertainty for developers and investors who have committed substantial capital to these projects.
Dominion Energy Aims to Contest Suspension in Court
Dominion Energy filed a lawsuit against the Trump administration following its suspension of their Coastal Virginia Offshore Wind project, the largest offshore wind farm in the US at 2.6 gigawatt capacity. Construction began early 2024 with scheduled operations beginning early 2026; Dominion claims this stop-work order is arbitrary, capricious, and unconstitutional since this forces offshore vessels and crews to remain idle while costs accumulate.
Dominion Energy of Virginia has already invested approximately $8.9 billion of the project's $11.2 billion total cost, with customers shouldering the financial responsibility. Designed to generate enough clean energy to power 660,000 homes, Dominion has highlighted Virginia's rapid expansion as a data center hub as an additional reason why energy capacity for this project is needed urgently in the region's infrastructure needs.
Financial Impact and Previous Disruptions
Developers already suffered substantial financial losses as a result of earlier stop-work orders issued in 2025. For example, in April the Trump administration issued a stop-work order against Equinor's Empire Wind project for four weeks of construction halts; Equinor reported losses estimated at approximately $50 million per week during this time. Furthermore, Orsted Revolution Wind reported daily losses estimated at $2.3 million daily during an approximate four week suspension.
These disruptions have proven particularly costly because offshore wind projects rely on extremely tight schedules that rely on limited global supply of specialized installation vessels, even brief delays can derail supply chain contracts and force rescheduling of critical installation windows. Eversource Energy, an electric utility participating in Revolution Wind project, recorded significant charges and liabilities as result of project stoppage causing ratepayer uncertainty while fighting to retain long-term cost benefits of the project.
Vineyard Wind Power Production Continues at Breakeven Level
Vineyard Wind, the 62-turbine project south of Martha's Vineyard in Massachusetts, has been allowed to continue generating and delivering power to the grid despite an initial suspension order. Over 2025 it increased output steadily until fall 2025, producing enough electricity to power approximately 50,000 homes in Massachusetts; however it remains incomplete as more blades must be installed before reaching full capacity which was originally planned for 2026.
Industry Outlook and Legal Challenges in Sight
Democratic governors from four affected states have pledged to challenge the Trump administration's suspension order, with one developer of Coastal Virginia Offshore Wind already initiating legal proceedings and additional multi-state lawsuits likely following. Furthermore, offshore wind industry faces uncertainty regarding key approvals granted for New England Wind and SouthCoast Wind projects which received permits between 2024-2025 but could potentially face cancellation by the Bureau of Ocean Energy Management.
The suspension jeopardizes multiple project milestones scheduled for 2026. Revolution Wind was expected to connect to the grid, while Coastal Virginia Offshore Wind and Empire Wind would begin generating power and Empire Wind would start operations late that year. If these four projects can still meet their power-on deadlines by year-end 2026, five commercial-scale wind projects on the East Coast with combined capacities estimated at 5 gigawatts will have gone into operation, capable of powering approximately 1.9 million homes--though actual output would likely average closer to 2.5 gigawatts due to typical capacity factors estimated at 50 percent or lower.