Posted on August 15, 2025
The decision follows President Donald Trump’s move to block plans for offshore wind development.
The New Jersey Board of Public Utilities on Wednesday delayed offshore wind power transmission infrastructure in the state by more than two years.
The BPU, which regulates utilities and helps shape the state’s energy policies, said the decision follows President Donald Trump’s move to block plans for offshore wind development.
“Today’s action is a direct response to a shift in federal policy under the current administration, which has created significant uncertainty and potential for offshore wind project delays,” said BPU President Christine Guhl-Sadovy in a statement.
The board also canceled its approval of the Atlantic Shores wind project, a two-phase wind farm between Atlantic City and Barnegat Light that aimed to power nearly 1 million homes.
The move was expected, as wind developer Atlantic Shores asked the BPU in June to cancel its contract for the 195-turbine project. The company called the move a temporary “reset” amid financial difficulties and industry uncertainties under a Trump administration that has vowed to increase coal, oil and gas production.
The BPU’s decisions are the latest blow to New Jersey’s plan to cut carbon emissions and reach 100% clean energy by 2035.
“At the end of the day, it’s very hard to lose 1,500 megawatts of electricity at a time when we need not just clean electricity but more electricity, so it’s tough,” Guhl-Sadovy said after the BPU canceled its approval of the Atlantic Shores project.
Setbacks and delays
The BPU will delay a series of projects to construct the onshore facilities needed to feed 4,890 megawatts of offshore wind energy into the regional electrical grid operated by PJM Interconnection. Those infrastructure projects will now be required to meet a new in-service service deadline of January 2033.
The BPU approved the projects in October 2022 under a regulatory pathway known as the State Agreement Approach, which enables states to propose a transmission project for PJM’s Regional Transmission Expansion Plan and assume the cost of the project’s build-out.
In 2021, Gov. Phil Murphy announced a goal to increase the state’s offshore wind energy target from 7.5 gigawatts by 2035 to 11 gigawatts by 2040. The BPU said the partnership with PJM not only helps the state reach that goal, but is a more cost-effective approach than when wind projects develop their own connections.
“SAA will save ratepayers $900 million in future transmission upgrade costs and will help transmit 3,500 megawatts of new electricity that is needed to meet increasing power demand,” Guhl-Sadovy said.
However, Trump’s efforts to ban offshore wind has caused uncertainty around the timeline of developing offshore wind projects.
Last month, the Bureau of Ocean Energy Management rescinded designated wind energy areas in federal waters. The BPU said its decision to push back projects was a necessary move given federal policy changes.
Guhl-Sadovy said delaying transmission infrastructure investments would also provide a respite to ratepayers, who foot the bill through their utility bills, during a time when there is no electricity to bring to shore.
“The actions taken by the Board today are designed to protect New Jersey ratepayers from costs related to offshore wind transmission development in the near-term, while preserving and advancing the portions of SAA that are needed for wider grid improvements,” Guhl-Sadovy said.
The news is not unexpected given the risk and instability at the federal level, said Kris Ohleth, director of the Special Initiative on Offshore Wind.
“It is a challenge for New Jersey, or any state, to take such a risk with ratepayer dollars,” she said.
However, Ohleth said the state may “regret” what she calls a “short-sighted” decision to delay, given the rising costs of infrastructure projects and the need for offshore wind.
Ed Potosnak, executive director of the New Jersey League of Conservation Voters, said this latest setback will not stop his organization and other environmental groups from fighting for clean energy.
“Offshore wind is critical to our clean energy portfolio and to protecting our health, environment, and economy. Every delay forces our residents—especially low-income families and communities of color—to breathe dirty air and bear the brunt of climate change,” he said in a statement. “We’ve been knocked down, but we’ll keep getting back up, because the stakes are too high for us, our children, and our grandchildren. Solar and wind are the cheapest forms of energy and New Jersey deserves clean, affordable, renewable energy, and we will not stop until we achieve it.”
