A newly issued executive order from President Trump could jeopardize Maryland’s offshore wind energy plans.
The order places a temporary freeze on federal leases, permits, and loans for both offshore and onshore wind projects while the administration conducts an environmental and economic review.
The move comes just months after the Bureau of Ocean Energy Management (BOEM) approved U.S. Wind’s offshore wind project off the coast of Ocean City, Maryland.
If the executive order leads to the cancellation or amendment of existing leases, the project—along with others across the country—could face significant delays or even termination.
Maryland’s Offshore Wind Project at Risk
U.S. Wind, a Maryland-based company, received approval in December to begin construction on an offshore wind farm. The project will include up to 114 wind turbines and is expected to generate up to two gigawatts of electricity, enough to power more than 718,000 homes in the region.
This offshore wind farm is the tenth commercial-scale wind project to be approved nationwide. However, the executive order now casts uncertainty over its future.
The order instructs federal agencies to review not only new projects but also the necessity of terminating or amending existing wind energy leases. If the administration finds a legal basis to cancel previously approved projects, U.S. Wind’s plans could be in jeopardy.
How the Executive Order Could Impact Offshore Wind Development
The freeze on new wind energy leases and permits is expected to significantly slow the development of offshore wind projects across the country.
According to an offshore wind analyst at ClearView Energy Partners, the order could curtail U.S. offshore wind development for the next four years and undo progress made under the Biden administration.
The exact impact on existing wind projects remains unclear. While the order calls for a review of current leases, federal law outlines specific legal requirements that would need to be met before the administration could revoke finalized leases or grants.
This means that canceling an already approved project, like U.S. Wind’s, could face legal challenges.
Environmental and Economic Concerns Behind the Order
The Trump administration has justified the executive order by citing environmental and economic concerns. The review will assess the potential impact of wind energy projects on marine ecosystems, local fishing industries, and economic factors such as job creation and energy costs.
Critics argue that this move is more about rolling back renewable energy initiatives rather than addressing genuine environmental or economic risks.
Supporters of offshore wind energy emphasize that projects like U.S. Wind’s are key to reducing reliance on fossil fuels and combating climate change. The Maryland wind farm was expected to bring significant economic benefits, including job creation and increased investment in clean energy infrastructure.
What Happens Next?
For now, U.S. Wind’s project remains approved, but the federal review process could delay construction or lead to further legal battles.
The offshore wind industry will be closely watching how the administration interprets and enforces the order in the coming months.
If the Trump administration attempts to revoke existing leases, legal challenges from wind energy companies and environmental groups are likely.
At the same time, Maryland officials and renewable energy advocates may push back against any federal actions that threaten the state’s clean energy goals.
The next few months will be crucial in determining whether U.S. Wind and other offshore projects can move forward or if they will be stalled indefinitely by federal policy shifts.