THE WAR ON WIND
BP Exits US Onshore Wind, Selling 1.3GW Portfolio to LS Power
BP has agreed to sell its entire US onshore wind energy business, BP Wind Energy North America Inc., to LS Power in a transaction expected to close by year-end, pending regulatory approval. The deal includes 10 operating wind farms totaling 1.3GW net capacity, marking another step in BP’s ongoing $20 billion divestment program.
Relevant context
The sale is part of BP’s broader effort to streamline its business and prioritize assets that deliver the greatest value, a strategy it laid out in February as it seeks to simplify operations and generate shareholder returns. The company’s first-quarter 2025 update indicated divestment proceeds of $1.5 billion to date, with a target of $3–4 billion in disposals for the year.
BP Wind Energy’s portfolio spans seven states with interests in 10 wind farms, including full ownership of significant assets like Fowler Ridge and Flat Ridge. All assets are grid-connected with more than 15 off-takers, ensuring steady revenues and making the package attractive to buyers like LS Power.
Following the acquisition, LS Power will integrate these wind assets into its Clearlight Energy portfolio, expanding its renewables footprint to approximately 4.3GW. LS Power already owns a diversified 21GW operating portfolio, including renewable generation, storage, flexible gas assets, renewable fuels, and transmission infrastructure.
This move reinforces a key trend: oil majors scaling back some renewable ambitions amid investor pressure to focus on returns while specialist infrastructure players like LS Power accelerate investments in operating renewable assets that offer predictable cashflows.
Netherlands’ Government Says Offshore Wind Targets Are No Longer Realistic
Addressing the Dutch Parliament, the interim government’s Minister for Climate and Green Growth has said the current goals for offshore wind energy are “no longer realistic.” The Ministry reports it is working on a new plan that will reset the country’s targets, lowering the near-term goal by as much as 40 percent.
The Netherlands is scaling back its ambitions for offshore wind energy power to the dismay of those in the industry and other European partners. However, in May, the country canceled two offshore wind auctions, citing a lack of interest and financial concerns. Today, Parliament was told that there is “slower-than-expected” progress in the transition to green power, according to the broadcaster NOS. It highlighted the supply chain and other challenges in the industry.
There had been speculation a year ago that the Netherlands was falling behind and was likely to miss its targets. It currently has 4.7 GW installed, but the government had set a plan calling for 50 GW to be developed and reached between 2032 and 2040. The longer-term goal was 70 GW by 2050. Currently, about one-sixth of the country’s power is supplied by offshore wind power.
The ministers told parliament that a new plan would be available by September, but they expect it could be as low as 30 GW. They said an additional 10 GW to reach 40 GW might be possible, depending on the speed of development in the industry.
NedZero, the Dutch wind power association, said that it obviously regrets the revised ambitions while noting that more needs to be done to launch electrification.
However, it also admitted that the new targets, “remain a major challenge and we as a sector will fully commit to it,” said Jan Vos, chairman of NedZero, in a statement. “The crucial thing now is to further develop the demand for sustainable energy. We must stop using oil and gas… Lowering ambitions undermines confidence in the entire supply chain.”
The group is also calling for a stable and predictable government policy, which it said is essential to attract private investment.
Earlier this year, a group of more than 20 companies had urged the government to introduce financial guarantees or subsidies to reduce investment risks.
The revised policy is being outlined by the interim government, which is currently in a caretaker position. The coalition government collapsed at the beginning of June, putting the current caretakers in position. The plan calls for new elections in October with strong competition from an environmental faction versus a right-wing movement. The results of the election are likely to further impact the Netherlands’ outlook and plans.
TRUMP EPA Seeks to Assert Authority Over Maryland’s Offshore Wind Project Appeals
The federal Environmental Protection Agency (EPA) attempted to assert its authority "at the eleventh hour" over the final approvals for Maryland’s first offshore wind project. The deadline was on July 14 for appeals on the final approval for the project, and according to media reports, the EPA sent a letter last week asserting the appeal was under its jurisdiction and not the state’s authority.
In a letter from the region EPA administrator to Maryland’s Department of the Environment posted online by Maryland Matters, the EPA asserts that it has “identified an error” in the state’s final permit decision, which it asserts could “result in invalidation of the permit on appeal and confusion among relevant stakeholders.” The letter contends that the authority to issue to permit was under federal authority delegated to the state, and as such, the appeal is under the EPA’s oversight.
The EPA was calling for Maryland to reissue the final permit decision for US Wind. Maryland, however, on its website for the process added a footnote saying “A previous version of this webpage also described a separate permit appeals process through the U.S. EPA. The appeals process for this permit is through the State of Maryland only, and the language describing the U.S. EPA appeals process has been removed.” It also reissued the public notice in early June, a month before the EPA’s letter.
The Trump administration has been clear in its opposition to offshore wind energy projects. In March 2025, it was the EPA that withdrew an air quality permit for a proposed New Jersey offshore wind farm that related to prior approval of the construction of that wind farm. While that project was still in development, it created another hurdle in the process.
The Maryland Department of the Environment, Air and Radiation Administration (ARA) reviewed the application made by US Wind for the project, which would ultimately be developed in two phases for a total of up to a total of 114 wind turbines generating between 1.8 and 2 GW of power. After reviewing the comments, ARA determined that the proposed construction and commissioning of the offshore wind project would “not cause violations of any applicable air pollution control regulations.” The Department reported it had made a final determination to issue the permit-to-construct, effective June 6, and it included a window till July 14 to file a petition for judicial review in the circuit court for the county where the activity would occur.
The lease area is located approximately 8.7 nautical miles offshore of Maryland and approximately 9 nautical miles from Delaware. US Wind, a partnership between Italy’s Renexia and American investment firm Apollo Global Management, won its lease for nearly 47,000 acres in August 2014. The first phase, known as MarWind, was proposed as 300 MW with 22 turbines more than 20 miles from shore, while the second phase, Momentum Wind, was proposed for 800 MW with up to 55 turbines.
Federal approvals for the project were completed in 2024 under the Biden administration. The Department of the Interior issued its Record of Decision after the environmental review in September 2024. The Bureau of Ocean Energy Management issued the final federal approval, the Construction and Operation plan, in December 2024.
Both the state and US Wind told Maryland Matters that they were ensuring that the process was following the letter of the law. The company emphasized that it was “confident that all of our project’s permits were validly issued.”
The project has faced opposition in both Delaware and Maryland, including lawsuits. Despite that, both the state and the company have said they are committed to the project and the benefits it would provide.
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