Commonwealth Wind has agreed to pay a $48 million penalty to terminate its offshore wind contracts with three Massachusetts electric companies.
Commonwealth parent company Avangrid sought to renegotiate the contracts last year, but the state refused.
The company then sued the Department of Public Utilities, saying the pricing was no longer viable due to inflation, interest rates, and other factors.
The termination agreements call for Commonwealth Wind to pay $26 million to Eversource, $22 million to National Grid, and $480,000 to Unitil.
Those agreements are subject to final approval by the Department of Public Utilities.
Backers of the wind farm say their plans are far from over; Avangrid CEO Pedro Azagra says the company plans to bid again for the next round of wind contracts.
Another proposed wind farm, SouthCoast Wind, is also seeking to terminate its contracts because of rising costs.
