The U.S. District Court for the District of Columbia has granted a preliminary injunction allowing Revolution Wind, a joint venture of Orsted, to restart construction on its nearly completed offshore wind project off Rhode Island. The decision blocks a stop-work order issued by the U.S. Bureau of Ocean Energy Management (BOEM) in August, which cited unspecified national security concerns under the Donald Trump administration.
Key Highlights
Legal Victory for Orsted: The court’s ruling is a major win for Orsted (ORSTED.CO), the Danish renewable energy giant and 50-50 joint-venture partner with Skyborn Renewables.
Stock Surge: Orsted shares jumped as much as 12 percent in early trading, later stabilizing at a 7 percent gain to 118.6 Danish crowns, Reuters news report said.
Project Status: The Revolution Wind project is 80 percent complete, with all offshore foundations installed and 45 of 65 turbines in place.
Financial Stakes: Orsted and Skyborn have invested or committed about $5 billion. Cancelation could have triggered over $1 billion in breakaway costs.
Financial and Strategic Impact
Orsted was already under pressure from inflation, higher interest rates, and supply chain delays before the stop-work order. The company recently sought a $9.4 billion rights issue, ensuring a liquidity reserve of 145 billion Danish crowns ($22.9 billion) — enough to finish existing projects.
ESG and Renewable Energy Significance
The ruling reflects the importance of clean energy transition amid political and regulatory challenges. For the U.S., it reinforces federal support for offshore wind energy, critical to meeting climate goals.
With this court victory, Revolution Wind will resume construction immediately, prioritizing safety and aiming to deliver renewable power to New England as scheduled — marking a pivotal moment for the U.S. offshore wind industry.
GreentechLead.com News Desk