The Trump administration has given the go-ahead to an offshore wind power project in New York that it suspended a month ago. Empire Wind, ran by Norway’s state oil major Equinor, can now resume construction work.
The reversal of course followed political involvement from the Norwegian government and the participation of New York Governor Kathy Hochul, Reuters reported, citing the chief executive of the Norwegian oil and gas major.
“I would like to thank President Trump for finding a solution that saves thousands of American jobs and provides for continued investments in energy infrastructure in the U.S.,” Anders Opedal said.
The Department of the Interior ordered the suspension of construction works at the Empire Wind project last month, saying the project may have been approved by the previous administration without an appropriate environmental assessment.
The Empire Wind project has a price tag of $5 billion, with Equinor saying in January it had secured a financing package of $3 billion. The installation was planned to power 500,000 New York homes and was expected to reach its commercial operation date in 2027. With a contracted capacity of 810 megawatts, Empire Wind 1 was going to be the first offshore wind project to connect to the New York City grid.
Now, it’s back on the table just days after a senior Equinor executive warned the company will scrap it “in days” unless the Trump administration lifts the stop-work order that Doug Burgum’s Department of the Interior issued in April. Report said the stop-work order was costing Equinor some $50 million per week. Also, if Equinor missed the summer construction period, this could delay the completion of the project by as much as a year. Since its approval by the Biden administration, back in 2023, the Empire Wind has progressed to 30% of completion.
By Irina Slav for Oilprice.com
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