Dominion Energy (D) Tumbles 3.7% as US Govt Halts Offshore Wind Projects

We recently published 10 Stocks Struggling to Shine Ahead of Christmas. Dominion Energy Inc. (NYSE:D) is one of the worst performers on Monday.

Dominion Energy extended its losing streak to a third straight day on Monday, slashing 3.72 percent to close at $57.22 apiece as investors trimmed their positions after one of its wind projects was ordered temporarily shut over national security concerns.

On Monday, the Trump administration ordered Dominion Energy Inc. (NYSE:D), which owns the Coastal Virginia Offshore Wind, alongside other wind developers, to temporarily halt their construction of wind projects amid national security concerns raised by the Pentagon.

Specifically, the US government found that the turbine blades and highly reflective towers create a radar interference risk.

According to Interior Secretary Doug Burgum, the halt was necessary to give the federal government more time to work with leaseholders and state partners to assess the possibility of mitigating the national security risks posed by the projects.

Coastal Virginia Offshore Wind is a 176-turbine project currently under development, which, according to Dominion Energy Inc. (NYSE:D), is expected to energize over 600,000 homes. The project was expected to be completed next year.

In a statement, Dominion Energy Inc. (NYSE:D) said that stopping the project “for any length of time will threaten grid reliability for some of the nation’s most important war-fighting, AI, and civilian assets.”

“It will also lead to energy inflation and threaten thousands of jobs,” it added.

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Disclosure: None. This article is originally published at Insider Monkey.