The Trump administration has reached a $1.22 billion settlement with German energy company RWE requiring it to give up offshore wind leases in New York, California and Louisiana and redirect the settlement funds toward “conventional energy” projects, including oil, gas or nuclear infrastructure, The Washington Post reports.
RWE plans to put $900 million into Louisiana LNG, a major liquefied natural gas project, with another $300 million going toward natural gas turbine reservations. The Louisiana investment is controversial because RWE is purchasing its stake from Stonepeak, a private equity firm co-founded and led by Australian billionaire Michael Dorrell.
Dorrell donated a combined $1 million to the Trump-Vance Inaugural Committee shortly after Trump won the 2024 election. He has also publicly discussed his membership at Mar-a-Lago and his social proximity to Trump and the president’s inner circle.
The administration denies any connection between Dorrell’s political donations and the Louisiana LNG investment. Interior officials say they did not direct RWE toward Stonepeak or Louisiana LNG, and RWE says it independently chose the investment based on its business interests.
Critics question whether the $900 million actually creates new energy infrastructure. Stonepeak had already invested billions in Louisiana LNG, and the transaction appears to allow Stonepeak to reduce its investment exposure rather than significantly expand the project.
The deal is part of the administration’s broader effort to dismantle offshore wind development. The settlements have reportedly reached nearly $4 billion, while Democrats and several states are challenging the agreements and seeking to recover the money for taxpayers.
The Washington Post has the full story. A subscription may be required.
State's future
