Ørsted challenges US offshore wind lease suspension in court

Revolution Wind LLC has filed a supplemental complaint in the U.S. District Court for the District of Columbia challenging a lease suspension order issued on December 22, 2025 by the Bureau of Ocean Energy Management, and said it will seek a preliminary injunction to halt the decision.

The move comes after the Trump administration suspended leases on December 22 for five large offshore wind projects under construction off the US East Coast, citing national security concerns. The decision sent shares of offshore wind companies sharply lower and marked the latest setback for developers, who have faced repeated disruptions to multi-billion-dollar projects under US President Donald Trump, a vocal critic of wind power who has described turbines as ugly, costly and inefficient.

The offshore wind developer, a 50:50 joint venture between Skyborn Renewables, owned by Global Infrastructure Partners, and Ørsted, said the suspension violates applicable law and threatens substantial harm to the project. It follows an earlier stop-work order issued in August 2025.

Revolution Wind said it secured all required federal and state permits in 2023 after more than nine years of environmental and regulatory review. As part of the process, the project carried out extensive consultations with the Department of Defense’s Military Aviation and Installation Assurance Siting Clearinghouse, resulting in a formal mitigation agreement with defence authorities.

The developer said it has spent and committed billions of dollars in reliance on the approvals and has obtained additional clearances from agencies including the U.S. Coast Guard, the U.S. Army Corps of Engineers and the National Marine Fisheries Service.

The project is around 87% complete, with all offshore foundations installed, 58 of 65 turbines in place, export cable installation completed and both offshore substations installed. Prior to the suspension, it was expected to begin generating power in January 2026 and reach full operation later that year.

Once operational, the wind farm is expected to supply electricity to more than 350,000 homes under 20-year power purchase agreements with utilities in Connecticut and Rhode Island, strengthening grid reliability across the Northeast amid rising demand from data centres and artificial intelligence. Grid experts, including ISO New England, have warned that halting the project could increase electricity costs and reduce system reliability.

Revolution Wind said the project has supported thousands of US jobs across construction, operations, shipbuilding and manufacturing, including more than 1,000 union jobs accounting for roughly two million union work hours. It forms part of Ørsted’s broader investments in US energy generation, grid upgrades, ports and domestic supply chains spanning more than 40 states.

Separately, Sunrise Wind LLC, a wholly owned Ørsted subsidiary that also received a lease suspension order on December 22, said it is evaluating options to resolve the issue, including continued engagement with regulators and potential legal action.

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