New Federal Mandate Clouds Prospects for NC Wind Projects
President Trump issued a new directive banning all new offshore wind leases, putting a significant roadblock in the path of North Carolina’s renewable energy ambitions. The decision halts future leases and temporarily freezes permitting for existing projects, leaving developers, environmentalists, and utility companies in limbo.
North Carolina, which has two designated offshore wind lease areas, has yet to see construction begin. While the directive does not immediately cancel existing leases, it orders a sweeping review to determine their viability and potential legal vulnerabilities. Industry advocates worry this move could undermine ongoing projects and destabilize plans to transition away from coal and natural gas.
A Sudden Stop
The presidential memorandum cites concerns over national security, navigational safety, and marine wildlife as reasons for the pause. Critics argue that these factors are already considered in current permitting processes. Justin Somelofske, an attorney with the N.C. Sustainable Energy Association, called the move redundant and disruptive.
“Regulators already address these issues during project approval,” said Somelofske. “This directive unnecessarily prolongs the timeline and creates a chilling effect for investors and developers alike.”
Duke Energy, North Carolina’s largest utility, was in the early stages of exploring offshore wind development to meet state-mandated clean energy goals. Following the executive order, Duke issued a cautious statement expressing its commitment to working with federal officials to ensure reliable energy for its customers.
Uncertain Future
Katharine Kollins, president of the Southeastern Wind Coalition, warned that while existing leases are unaffected for now, the directive’s broad language could lead to future legal battles over active projects.
“If they move to cancel existing leases, it will be tied up in court for years,” Kollins said.
For North Carolina, the stakes are high. The N.C. Utilities Commission had directed Duke Energy to incorporate 1.2 gigawatts of onshore wind by the early 2030s, part of the state’s broader plan to phase out coal by 2036. This federal roadblock may make those goals harder to achieve, especially as utilities hesitate to invest in uncertain projects.
What’s Next?
As the directive takes effect, the wind energy sector will watch closely for the outcome of the Interior Department’s review. Delays in permitting could further complicate a landscape already marked by lengthy timelines and significant upfront costs.
In the meantime, North Carolinians should brace for potential ripple effects on energy prices and availability. For now, the wind off the Carolina coast is blowing in a decidedly different direction.
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