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California threatens to sue Trump administration over wind project off Morro Bay coast

June 24, 2026

By KAREN VELIE

California filed an intent to sue the Trump administration over an agreement with a wind energy company to forego a lease off the coast of Morro Bay in exchange for a partial return of their payment, which is required to be invested in other domestic fuel sources.

California Attorney General Rob Bonta argues an agreement between the U.S. Department of Interior and Golden State Wind puts California’s clean energy gains, jobs, and more than $100 million in public investments at risk. Bonta claims California gets a say in the offshore wind leasing program and any deals.

“California won’t stand idly by as the Trump administration illegally strikes deals to kill offshore wind projects and replace them with more windfalls for his fossil fuel friends; we’re putting the administration on notice that we intend to sue,” said Attorney General Rob Bonta. “My office will continue to fight back aggressively against the Trump administration’s illegal attacks on wind energy projects.”

In 2022, the federal government auctioned off three offshore wind energy sites located between 20 and 30 miles off the coast near Morro Bay for more than $400 million. The offshore wind leases were sold under the assumptions that taxpayers would indefinitely subsidize the projects.

However, President Donald Trump worked to repeal and dismantle the climate and clean energy provisions of the 2022 Inflation Reduction Act, including freezing funding disbursements, canceling grants, and cutting back on clean energy tax incentives.

Work on the three projects off the coast of Morro Bay stalled, and the companies began negotiating with the Trump administration.

Two of the companies, Invenergy and Golden State Wind, have signed agreements with the Trump administration to cancel their leases for partial refunds of monies paid, which funds to be invested into U.S. based energy projects.

After filing a notice of intent to sue, Bonta is required to wait at least 60 days before filing a lawsuit.

 


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10 Comments

You all are fighting each other over the means of energy production while literally hundreds if not thousands of Data Centers are planned. I work with them in my line of work. One single customer of mine will consume 1.2 GW for their “campus”. That is twice the power consumption of the dam in No Ca. They will often pursue pre-grid solutions meaning the power they generate is free from regulatory oversight. Everyone’s power cost will rise, the environment will be degraded, and we will still be arguing over it for all time solving very little.


8

Our tax dollars don’t belong fighting Washington every time someone sneezes, instead how about taking the money that belongs to the taxpayer and fix the highways, interstate 5 is falling apart again and most of the highways in Southern Ca suck also.


31

First… California needs to tell the states citizens how many expensive lawsuits they have lost suing the federal government and Trump since 2024…. and give us a price tag… enough California… we do not want your windmills… sell them to Washington state… they are gullible enough to buy them…


32

Maybe Rob Bonta can have his legislator wife bring a bill forward to make it illegal for the federal government to do anything he doesn’t agree with, the super majority Democrats will pass it and of course Newsom will sign it.


43

Good to hear. We need all of the energy sources we can get. Man Baby T can go pound sand.


-65

We need reliable affordable energy… not an energy experiment… the smart thing to do is to do what works and what people can afford… not what makes political donors wealthy…


53

On No! California’s Climate Scams are at risk!

Nooooo!


65

Oh, no. Another “old man” doesn’t care about the environment he is leaving to future generations because that doesn’t affect him personally! You can always move somewhere “less woke”, old man.


-70

He should move because fools like you have bought into the climate change grift narrative?


27

Ma! I broke the environment again! Only billions of dollars for unproven goofball solutions will save us now!


51