World’s largest wind energy developer Ørsted is operating in many countries, including the US – there Ørsted almost finished the $1.5 billion project off the coast of Rhode Island.
However, last week US Bureau of Ocean Energy Management stopped an almost finished project, presumably, as Donald Trump is very sceptical about the windpower energy. Nearly 3/4 of the 65 turbines have already been installed, after the project secured all required permits from the Biden administration.
Ørsted’s share price has plunged nearly 90 percent from its 2021 peak, leading some analysts to question whether the Danish company may have to abandon its high-profile US projects to stay afloat.
This development represents a significant risk for the company, marking not only a substantial shift in its portfolio but also a reordering of strategic priorities. Such a transition places Ørsted under considerable financial and operational pressure, as it must balance the demands of investors, regulatory bodies, and long-term sustainability goals. The potential withdrawal from high-profile projects could undermine market confidence, challenge its leadership position within the renewable energy sector, and force the company to reconsider its overall growth strategy.
However, the uncertain policy consistency of the current administration could result in a change of stance on this matter.
