RWE shifts U.S. strategy through solar sale and offshore wind exit

German energy company RWE is undergoing significant strategic shifts in its United States operations through two major transactions.

RWE Americas has agreed to sell its distributed clean energy business to Goldman Sachs Alternatives. The deal includes approximately 348 MWdc of operating solar assets across 16 states and a 1.2 GW development pipeline. RWE Americas CEO Andrew Flanagan stated the move is intended to sharpen the company’s focus on growing its utility-scale power business in America.

Separately, RWE has reached a US$1.2 billion settlement with the U.S. Department of the Interior to abandon its offshore wind projects. The company will relinquish leases off the coasts of California and Louisiana, as well as in the New York Bight. RWE indicated there was “no path forward to permit these projects in the US for the foreseeable future” and plans to reinvest the settlement into conventional gas projects, including US$900 million toward a liquefied natural gas export terminal in Louisiana.