The Trump administration is paying an additional $1.2 billion to German utility RWE to cancel an offshore wind lease. This brings the administration's total spending to $3.93 billion across 12 leases coaxed into abandonment.

The planned wind farms were to be built off the coasts of California, Louisiana, and New York. According to Heatmap News, the New York site alone would have generated over 3 gigawatts of electricity.

RWE announced how it will allocate the funds:

• $900 million: To purchase a small stake in a Louisiana liquid natural gas export terminal.
• $300 million: To buy natural gas turbines for 15 peaking power plants across the country.

Peaking power plants are among the most expensive and polluting natural gas plants to operate. Completion dates remain unclear due to a turbine backlog extending into the early 2030s. Meanwhile, RWE is not backing off offshore wind investments elsewhere, having bought 6.9 gigawatts of capacity in a recent UK auction.