Politics

USA halts Ørsted’s Revolution Wind off Rhode Island

Revolution Wind has been suspended off Rhode Island after the U.S. Bureau of Ocean Energy Management (BOEM) issued a stop‑work order on 22 August 2025, citing national security concerns. Ørsted said it is complying while assessing options. The project, located southeast of Rhode Island and serving New England, was nearing completion.

National security review and BOEM’s stop‑work order

BOEM’s acting leadership ordered offshore activities to pause until a federal review concludes. According to the letter sent to Ørsted’s U.S. arm, the review focuses on protecting U.S. national security interests and preventing interference with other lawful uses of U.S. waters. The order means no work can resume until BOEM’s additional review is finished.

The 704‑MW wind farm was reported to be around 80% complete, with offshore construction well advanced and a commercial operation date previously targeted for the second half of 2026.

The pause raises questions for Rhode Island and Connecticut power‑supply planning, where the project is contracted to deliver electricity that would help decarbonisation targets and grid reliability in the region.

What the Ørsted Rhode Island suspension means for timeline and costs

Ørsted has stated it is evaluating the financial implications of the halt and considering legal options while engaging with permitting agencies. Earlier this month, the company sought additional capital for U.S. offshore projects.

That request was equivalent to about €8.9 billion to strengthen its balance sheet in light of a tougher U.S. policy and financing environment. A prolonged suspension could introduce supply‑chain claims, vessel re‑scheduling, and contract adjustments, potentially increasing costs and delaying commissioning.

Offshore wind under the current U.S. administration

The current administration has paused new offshore wind leasing and intensified scrutiny of projects already permitted, amid repeated political criticism of wind energy. The stop‑work order for Revolution Wind fits into a broader shift that has complicated project financing, insurance, and partner appetite in the U.S. market.

Nordic and EU angle: implications for a Danish champion

As a Danish energy company with a major footprint in the North Atlantic, Ørsted’s U.S. setbacks matter for Nordic–EU energy ambitions. The pause could reduce expected near‑term U.S. output from Nordic renewable exporters, weigh on supplier order books across Northern Europe, and influence future transatlantic energy cooperation.

European policymakers and investors will watch whether regulatory clarity returns soon, or whether project risk premia in the U.S. remain elevated relative to EU North Sea developments.

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