Big news just dropped from Transportation Secretary Sean Duffy! Federal funding for major offshore wind projects in New York, New Jersey, and Connecticut has been abruptly withdrawn. Was this a necessary pivot to prioritize core infrastructure, or a setback for green energy initiatives? The debate is heating up!
Transportation Secretary Sean Duffy has announced a significant reversal in federal policy, withdrawing $679 million in funding earmarked for twelve offshore wind projects across the nation, including key developments in New York, New Jersey, and Connecticut, citing them as “doomed” under the current administration’s revised priorities.
This substantial federal funding withdrawal directly impacts several high-profile initiatives previously supported under the Biden administration’s green energy agenda. Notably, Connecticut’s Bridgeport Port Authority Operations and Maintenance Wind Port project will lose $10.5 million, while New Jersey’s Wind Port at Paulsboro faces a $20.5 million cut, and Staten Island’s Arthur Kill Terminal sees $48 million rescinded.
Secretary Duffy openly criticized the previous administration’s approach, stating, “Joe Biden and Pete Buttigieg bent over backwards to use transportation dollars for their Green New Scam agenda while ignoring the dire needs of our shipbuilding industry.” He underscored a shift, asserting, “Thanks to President Trump, we are prioritizing real infrastructure improvements over fantasy wind projects.”
The funding cuts arrive amidst existing challenges for offshore wind initiatives, particularly in New Jersey. The Garden State experienced a significant setback recently when Orsted, a prominent Danish green energy firm, canceled two major offshore wind projects despite having secured a billion dollars in taxpayer-funded subsidies, highlighting the economic uncertainties surrounding these ventures.
Concrete evidence of these struggles is visible in Paulsboro, New Jersey, where over a dozen 400-foot-long steel pipes, originally intended as foundations for massive offshore wind turbines, were reportedly being sold as scrap metal late last year, symbolizing the collapse of earlier ambitions.
Similarly, the Arthur Kill Terminal project on Staten Island, conceptualized five years ago as a specialized port for assembling offshore wind turbines and towers, has yet to commence construction. Its progress stalled significantly after President Trump issued an executive order in January, halting permitting for many such offshore wind projects while this terminal awaited approval from the Army Corps of Engineers.
The Department of Transportation (USDOT), through its Maritime Administration (MARAD), affirmed a renewed focus under the Trump Administration. Their press release stated a commitment to “rebuilding America’s shipbuilding capacity, unleashing more reliable, traditional forms of energy, and utilizing the nation’s bountiful natural resources to unleash American energy.”
The agency also indicated that the funding pulled from these offshore wind developments would not be entirely lost. “Where possible, funding from these projects will be recompeted to address critical port upgrades and other core infrastructure needs of the United States,” the DOT added, signaling a reallocation towards more conventional and immediate infrastructural demands.