Jersey's government needs to secure access to export markets before it can progress plans for an offshore wind farm.
A feasibility report has just been published, summing up the work so far and the potential for putting turbines off the island's south-west coast.
Last April, States members voted to pursue the wind farm idea.
A 78 page report says it could bring 'significant economic benefits' - but that Jersey would need clarity on market access from the UK and France.
It says further work on legislation and leasing should only come after a clear decision that shows how - and by how much - islanders would be better off.
"Despite many conversations with the UK and France, it has not been possible to get into detailed discussions. Until this happens and the benefits can be assessed, it is too soon to open a lease process."
"Further work on legislation and leasing should only come after a clear decision which shows a net benefit for Islanders."
The government says it will continue discussions with the UK and France, and that the ongoing work will be funded from existing department budgets.
"Even if a wind farm does not proceed, market access would be required for other potential future large-scale energy projects (e.g. tidal power)."
Environment Minister Steve Luce says the detailed work done so far puts Jersey in a 'strong position to shape its energy future'.
" I remain committed to an open, evidence-based approach, as we look to understand more about the opportunities Jersey might have to enter global energy markets."
Scrutiny politicians on the Offshore Wind Review Panel say they are disappointed, but supportive of the government decision.
"The Panel concurs with the conclusions of the Minister that the current geopolitical risk, and unclear access to export markets make it unfavourable to proceed with confidence at this time."
"The Panel are in agreement with the Minister’s decision to pause work on bringing forward proposals to move to a leasing process for now but would like to see a clear market access plan developed for our particular circumstances, so we are ready to take advantage of this opportunity once the geopolitical situation is more favourable.
"A comprehensive plan will also enable Jersey to consider other renewable energy projects in future.’’
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