Two offshore wind developers have pulled plans to build offshore wind farms and will instead invest in domestic energy projects in an agreement announced by the U.S. Department of the Interior April 27.

Bluepoint Wind project, planned off the coast of New York, and Golden State Wind project, to be installed off the California coast, have ended their federal leases for projects that the Trump administration said would have been costly for taxpayers.

“The companies that bid for these offshore wind leases were basically sold a product in 2022 that was only viable when propped up by massive taxpayer subsidies,” Interior Secretary Doug Bergum said in a statement. “Now that hardworking Americans are no longer footing the bill for expensive, unreliable, intermittent energy projects, companies are once again investing in affordable, reliable, secure energy infrastructure.”

The agreements also “resolve the unaddressed national security concerns at both projects,” Bergum said.

Sen. Chuck Schumer (D-N.Y.) called the cancellation of the wind farms “despicable.”

“Another attack on New York offshore wind by Trump,” Schumer said in a post on Facebook. “These projects would have delivered desperately needed cheaper, cleaner energy to our homes and small businesses. All this does is kill good-paying union jobs and send energy prices even higher. Despicable.”

The U.S. paused offshore wind projects under construction in December 2025 to address emerging national security risks identified by the Department of War. The concerns included the creation of radar interference called “clutter” caused by the massive turbine blades that Burgum said could cause actual targets to be missed.

Offshore wind projects emit vibrations, electromagnetic fields, and acoustic signals that can travel long distances and possibly interfere with underwater threat detection, and introduce new vulnerabilities to the electrical grid, according to the Heritage Foundation think tank.

The Bluepoint Wind project was in the early development stages and was expected to power over 1 million homes. It was promoted as a way to help New York and New Jersey meet their carbon emissions reduction goals by 2030.

Global Infrastructure Partners, a part of BlackRock, has now committed to invest up to $765 million, the bid amount for Bluepoint Wind, in a U.S.-based liquified natural gas (LNG) facility.

The Department of Interior will cancel the lease and reimburse the bid payment in the amount invested in the LNG project, according to the department.

Bluepoint Wind has also decided not to invest in any new offshore wind projects in the United States, according to the agreement.

The Golden State Wind project was planned for the Morro Bay Wind Energy Area off of California’s central coast. By voluntarily ending its offshore wind lease, the project will be eligible to recover about $120 million in lease fees after its owners invest an equal amount in the development of U.S. oil and gas assets, energy infrastructure, or LNG projects along the Gulf Coast.

Wind turbines generate electricity at the Block Island Wind Farm near Block Island, R.I., on July 7, 2022. John Moore/Getty Images

The California project’s owners decided not to pursue any new offshore wind project in the United States, according to the Department of Interior.

“Our priority remains [in] disciplined capital allocation and delivering reliable energy solutions that create long-term value for ratepayers, partners, and shareholders,” Michael Brown, CEO of Ocean Winds North America, a 50 percent owner of Bluepoint Wind and Golden State Wind, said in a stateme