Paying a French oil major nearly $1 billion to walk away from U.S. wind

In March 2026, the Interior Department agreed to reimburse TotalEnergies, dollar for dollar, for roughly $928 million it paid in 2022 for offshore wind leases off New York and North Carolina. The money is repaid as Total invests in U.S. oil, gas and liquefied natural gas, including the Rio Grande LNG export terminal in Brownsville, Texas. Total renounced the leases and pledged not to develop offshore wind anywhere in the United States.

Grist reported the refund will likely offset investments Total had already planned rather than create new ones; Total had already approved expansion of the Texas LNG plant. Canary Media noted the offshore leasing bureau's annual budget is around $200 million, raising questions about how, and whether, the deal can legally be paid. Similar buyouts followed, including $765 million for a BlackRock unit's lease tied to investment in an LNG facility. Congressional Democrats are investigating.