Duke Energy will terminate its federal offshore wind lease off the coast of North Carolina, becoming the latest utility to exit a major renewable energy project under a settlement with the Trump administration.
The US Department of the Interior has announced that Duke Energy has voluntarily agreed to surrender its lease in the Carolina Long Bay area, roughly 15 to 22 miles off southeastern North Carolina.
In exchange, the federal government will reimburse the company nearly $129 million — slightly less than the amount Duke originally paid for the lease during the Biden administration’s 2022 auction.
The early-stage project, which had not yet entered construction, was expected to generate enough electricity to power more than 300,000 homes. Under the agreement, Duke will reinvest an equivalent amount in additional generating capacity and grid improvements to serve customers in the Carolinas.
Fourth such buyout
This marks the fourth offshore wind lease cancellation deal struck by the Trump administration, bringing the total spent on these buyouts to approximately $2.7 billion. Interior Secretary Doug Burgum framed the agreement as a step to strengthen American energy security and provide utilities with greater flexibility.
Duke Energy’s Carolina Long Bay lease (OCS-A 0546) was one of two awarded in the area in 2022. With this exit, North Carolina’s primary remaining offshore wind prospect is the separate Kitty Hawk lease area.
A Duke Energy spokesperson described the decision as allowing the company to redirect resources toward reliable energy solutions for its customers, while the administration continues its broader push against certain offshore wind developments.
