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California Sues Over Wind Lease

California sued the Trump administration and a developer over a deal canceling a Central Coast wind project for a federal reimbursement and fossil fuel investments.

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A drone view of windmills near the Sacramento River where it enters the California Delta near Rio Vista, California, U.S. December 28, 2025. REUTERS/Fred Greaves

United States officials face a federal lawsuit from California filed Friday afternoon over a $120 million lease cancellation deal. The legal challenge targets an offshore wind project agreement struck with Golden State Wind. The dispute threatens state renewable energy goals and puts federal settlement practices on trial.