Federal government withdraws $679 million in finance for offshore wind projects

In a surprising turn of events, the Transportation Secretary, Sean Duffy, has criticized the Biden administration for prioritizing the Green New Deal agenda over the needs of traditional industries like shipbuilding. This criticism was made in the context of the recent decision to halt and cancel funding for 12 offshore wind projects, including an offshore wind logistics and manufacturing hub.

The offshore wind energy development industry has been a contentious topic, with Duffy using the derogatory term "Green New Scam" to describe the projects. He implied that the Biden administration is neglecting the needs of the shipbuilding industry by using transportation funds for these wind projects.

The criticism suggests a perceived conflict between green initiatives and traditional industries. Duffy stated that the decision prioritizes real infrastructure improvements over "fantasy wind projects." The funding withdrawal affects a specialized port for assembly and other projects to support the construction and maintenance of offshore wind infrastructure, totalling $679 million in financing provided by the U.S. Export-Import Bank (EXIM) in April 2024.

The offshore wind projects being halted have been selected but not yet funded. The Transportation Secretary, Sean Duffy, is canceling the funding for these projects, a move that may indicate ongoing political disagreements regarding the role of green initiatives in infrastructure development.

It is important to note that the development of the offshore wind industry has been a topic of contention in the past, with former President Donald Trump also criticizing these projects. The decision to cancel funding was made on a Friday, and Duffy made a statement about the matter on the same day.

This news comes as the Biden administration continues to push for green initiatives as part of its broader climate change strategy. However, the criticism from Duffy highlights the challenges faced in balancing the needs of various industries while pursuing a greener future.