HN title (currently reads "US govt pays TotalEnergies nearly $1B to stop US offshore wind projects") is editorialized and it's unclear to me whether it's accurate. The article says:

> We're partnering with TotalEnergies to unleash nearly $1 billion that was tied up in a lease deposit that was directed towards the prior administration's subsidies

What's the deal with this lease deposit and how does "freeing it up" equate to the US govt "paying" TotalEnergies that amount?

Is this a situation where TotalEnergies put down a 1B deposit to lease the seashore from the government and the government is now canceling that agreement and giving them their money back? How does it relate to "subsidies"?

NY Times phrases it as a reimbursement to TotalEnergies for relinquishing wind leases that they paid for. The US made the reimbursement contingent on them investing in fossil fuel projects. "The deal is an extraordinary transfer of taxpayer dollars to a foreign company for the purposes of boosting the production of fossil fuels."

Total waste of $1 Bil of taxpayer dollars. If the oil and gas industry want to shut down wind projects let them pay for it.

You could go to the source and see[1].

> TotalEnergies has committed to invest approximately $1 billion—the value of its renounced offshore wind leases—in oil and natural gas and LNG production in the United States. Following their new investment, the United States will reimburse the company dollar-for-dollar, up to the amount they paid in lease purchases for offshore wind. Under this innovative agreement driven by President Donald J. Trump’s Energy Dominance Agenda, the American people will no longer pay for ideological subsidies that benefited only the unreliable and costly offshore wind industry.

> For its part, TotalEnergies will invest $928MM, on the following projects in 2026:

The development of Train 1 to 4 of Rio Grande LNG plant in Texas; The development of upstream conventional oil in Gulf of America and of shale gas production. Following TotalEnergies’ $928 million in investments in affordable, reliable and secure U.S. energy projects, the United States will terminate the following leases and reimburse the company

[1] https://www.doi.gov/pressreleases/interior-and-totalenergies...

We don't know some important specifics about the deal but (IMHO) that's on purpose and is telling, meaning you only end up obscure deal details because you have something to hide.

So I don't know what stage the project was at but by withdrawing from the deal or cancelling it, the government is going to have to pay a penalty. Is that penalty $10 million? Is it $500 million? We don't really know.

So it could be that TotalEnergies is still getting paid $1 billion but now they have to spend $600 million on some fossil fuel project. But in doing so the government has essentially paid a $400 million break penalty. You see what I mean?

I don't believe for a second that the government didn't lose money on this political cancellation. The fossil fuel project is just a way to hide that and save face (IMHO).

Not sure how it relates to subsidies, but it is what you said. The government is cancelling wind shore projects leased to TotalEnergies under the Biden admin for ~$930 million.

The Trump admin is paying them back with the understanding that TotalEnergies will reinvest the money into oil and gas operations in the US

They are taking money committed to a wind project and redirecting it towards burning fossil fuels - because what other lesson can we take from a global energy shock other than to increase our exposure to the next one? The company itself (France's Total) had already committed to the wind deal, so now the Trump admin is letting them off the hook, and using Trump's irrational refusal to issue licenses for wind power as the excuse for why the deal wasn't working out as originally planned.

The “nearly $1 billion” is clearly referring to “TotalEnergies's $928 million investment in two wind farm leases off the North Carolina and New York coasts.”

I think you’ve stated it too politely. :) The current HN title is a lie meant to generate outrage.