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Atlantic Shores, Ørsted apply in new round of offshore wind contracts

December 11, 2020 — Atlantic Shores Offshore Wind and Ørsted said Thursday they have applied to the state in the second round of competition to supply up to 2,400 megawatts of offshore wind power to New Jersey.

In September, the New Jersey Board of Public Utilities announced it would open the application window for the state’s second solicitation of offshore wind development. The window closed Thursday, and a decision is likely to take months.

The current solicitation will award between 1,200 and 2,400 megawatts of offshore wind energy, the BPU said, “potentially tripling the state’s committed capacity from 1,100 MW to 3,500 MW.”

It is part of the board’s work to achieve Gov. Phil Murphy’s goal of creating 7,500 MW of offshore wind energy in the state by 2035, to power 3.2 million homes, the board has said.

Read the full story at the Press of Atlantic City

First major R.I. offshore wind project faces further delays, with no clear completion date

November 25, 2020 — The 12-year saga of efforts to build a utility-scale offshore wind project off the coast of Rhode Island has been extended again, with no clear end-date in sight.

International developer Orsted A/S, which has a national hub in Providence, has pulled back on its previously estimated 2023 completion date for the Revolution Wind project slated for federal waters off the coast of Rhode Island. In an October earnings call, Orsted President and CEO Henrik Poulson said it was “highly likely” that the 50-turbine project, along with several others currently under federal review, will be delayed beyond anticipated construction years. Poulson cited uncertainty in the permitting process, which involves comprehensive review by the  U.S. Department of Interior’s Bureau of Ocean Energy Management, as reason for the expected delay.

BOEM recently pushed back its approval timeline for Vineyard Wind, an 84-turbine project slated for the coast of Martha’s Vineyard. Industry leaders have largely viewed the timeline and outcome of Vineyard Wind, slated to be the first large-scale wind farm to come online, as a direct indicator of when and if other offshore wind projects will move forward.

Exactly what this means for a new timeline for Revolution Wind is unclear. With BOEM’s decision to delay its environmental impact statement on Vineyard Wind until December, pushing off a final ruling until January, Orsted cannot “re-baseline our construction schedules,” Poulson said on the call.

Read the full story at the Providence Business News

World’s Biggest Offshore-Wind Company Sees U.S. Projects Lagging

October 29, 2020 — Orsted A/S, the world’s biggest offshore wind developer, expects four of its projects constituting about 2.8 gigawatts to be delayed beyond the expected 2023 and 2024 construction years, according to its interim financial report. Orsted’s explanation: it’s still waiting for clarity on the projects’ federal permitting process.

“We had expected to have received the notices of intent for the most progressed projects, but we can now see that will not happen before the election,” said Marianne Wiinholt, Orsted’s chief financial officer, on a call with reporters Wednesday. “We have to stand still for a period.”

The delay comes as offshore-wind proponents warn that limited resources at the U.S. Bureau of Ocean Energy Management are constraining development. But funding decisions — including whether to hire more staff to work through a backlog of wind project applications — fall to Congress, not the U.S. Interior Department agency.

Read the full story at MSN

South Fork Wind Farm delayed until 2023

October 29, 2020 — Developers of the South Fork Wind Farm say the project isn’t expected to be operational until the end of 2023, a “significant” delay that is a year from LIPA’s contractual start date.

In a conference call Wednesday, the company cited the expectation that federal permitting delays that have stalled projects across the northeast will continue into 2021. Developer Orsted said federal regulators overseeing the project also have yet to confirm the company’s plan to farther space out turbines for the project at one nautical mile apart, in part to accommodate fishing and shipping interests.

The $2 billion-plus project, rated at 130 megawatts, is proposed for federal waters off Massachusetts/Rhode Island.

Federal regulators are expected to provide needed permitting approvals by October 2021, according to Orsted.

“Given the updated permitting schedule, we now expect South Fork Wind to be in operations by the end of 2023 rather than 2022 as initially expected,” spokeswoman Meaghan Wims said in a statement.

Read the full story at Newsday

NEW JERSEY: New CEO vows Ørsted will fulfill jobs promises with offshore wind farm

October 26, 2020 — Ørsted Offshore North America, the Danish company that won the right to build an offshore wind farm about 12 miles southeast of Atlantic City in the Atlantic Ocean, has a new leader with New Jersey roots.

David Hardy, a 49-year-old American and Navy veteran, said Thursday he will make sure the company fulfills all of its promises to create jobs in offshore wind equipment manufacturing and supply chain services.

Hardy was born in the Fort Monmouth/Eatontown area of Monmouth County, but moved around the country growing up as his father was in the military.

He has replaced Thomas Brostrøm, the Dane who has been with the company 11 years and led its U.S. offshore wind efforts since 2015. Brostrøm will soon move back to Europe to become the leader of a global energy company, according to Ørsted.

Hardy has spoken to State Senate President Steve Sweeney about Sweeney’s concerns that Ørsted hasn’t worked fast enough to set up manufacturing and supply chain businesses in New Jersey.

Read the full story at the Press of Atlantic City

NEW JERSEY: Wind Conference Goes Virtual

October 26, 2020 — Hundreds attended the first in a series of virtual open houses about a wind farm off New Jersey’s southern coast, which proponents expect to be the start of a new clean energy industry in the region.  

Construction is expected to begin in the early 2020s, with the first project expected to provide power to a half-million New Jersey homes.   

The event was held remotely because of the pandemic. Kris Ohleth, senior stakeholder relations manager for Ørsted, the Danish company that won the contract for the first round of wind farm construction, in New Jersey, said they would’ve preferred to meet with the public face to face, but said that option is not practical.  

Participants in the Oct. 20 event signed up in advance and were emailed a link to the conference room. Before the event started, the link led to an image of a conference room much like any in the world, down to the lines of white folding chairs at a podium set at the front of the room.  

Read the full story at the Cape May County Herald

European developers build out dominance in US offshore wind race

October 8, 2020 — Utilities and oil majors from Europe are slicing up the Eastern Seaboard when it comes to the burgeoning U.S. offshore wind industry, with fewer domestic-owned developers so far putting money into a sector that is expected to balloon over the coming decade.

BP PLC became the latest company to enter the fray in September, when it bought into two offshore wind developments owned by Norway’s Equinor ASA, the Beacon Wind and Empire Wind projects, which between them have development potential of 4,400 MW, including an 816-MW state contract already awarded for Empire Wind. The joint venture between the two oil and gas firms follows a host of deals and leasing rounds that have seen the major players of Europe’s own offshore boom take the lead in the sector’s next big market.

Denmark’s Ørsted A/S, Spain’s Iberdrola SA and the BP-Equinor joint venture now own just over 11,600 MW of planned projects along the coast, while Dominion Energy Inc. and Eversource Energy — the next two top owners — are sitting on a combined 4,500 MW of projects, according to an S&P Global Market Intelligence analysis.

Read the full story at S&P Global

NEW YORK: Trustees on Board With Offshore Wind Plan

October 2, 2020 — The East Hampton Town Trustees unanimously approved signing on to the joint proposal submitted two weeks ago by Orsted U.S. Offshore Wind and Eversource Energy to the New York State Public Service Commission in support of the proposed South Fork Wind farm, to be situated approximate-ly 35 miles off Montauk Point.

Before the vote during their virtual meeting on Monday, the trustees, in consultation with outside counsel retained for navigating their role in the wind farm proposal, emphasized that the approval they were codifying supports “only those provisions that address the public need for the project and the construction, operation, maintenance, repair, and decommissioning of those portions of the project that are proposed to be located within” trustee jurisdiction, specifically the ocean beach at the end of Beach Lane in Wainscott, where the developers intend to land the wind farm’s export cable.

By signing on to the joint proposal, which details elements of the project from construction to its decommissioning 25 years later, the trustees are not addressing issues such as the wind farm’s impact on utility rates, for example, said Daniel Spitzer of Hodgson Russ L.L.C., counsel to the trustees. “You’re not offering an opinion that New York State needs this particular wind farm,” he said. That determination, rather, is the role of the Public Service Commission, which in order for the project to proceed must issue a Certificate of Environmental Compatibility and Public Need under Article VII of the Public Service Law.

Read the full story at The East Hampton Star

NJ legislators call to suspend offshore wind approval

September 16, 2020 — A trio of New Jersey legislators who have promoted offshore wind energy development have called for suspending state approval of Ørsted’s Ocean Wind project, alleging the company has so far “failed to deliver” on its promises of new jobs and economic development in the state.

In a Sept. 9 letter to state utility regulators, New Jersey state Senate president Steve Sweeney and Assembly members John Burzichelli and Adam Taliaferro, all Democrats with strong ties to construction and industrial union labor, cited pledges by Ørsted to hire all union labor, provide grants to spur business owned by minorities and women, and build monopile foundations in the state.

“We are starting to speak with our colleagues throughout the Northeast about their experiences with wind energy companies, including Ørsted,” they state in the letter. “We are asking if these companies, including Ørsted, have made the same representations in other states and have equally failed to deliver.”

The state Board of Public Utilities, which in June 2019 approved use of renewable energy credits for the Ocean Wind project, should ask regulators in other states if wind developers’ economic guarantees have borne fruit yet, say the legislators, who sponsored a 2010 law requiring that wind developers provide certain economic benefits to the New Jersey economy.

“If these concerns are validated, we request that you terminate the award and immediately commence a new and more transparent process for offshore wind project applicants,” they wrote. “This is of the utmost importance given the significant amount of public money being utilized to fund this project.”

Read the full story at National Fisherman

RHODE ISLAND: Ratepayers On Hook for Portion of Block Island Wind Farm Cable Mess

September 15, 2020 — National Grid and Deepwater Wind, now Ørsted, were given a break by Rhode Island’s Coastal Resources Management Council (CRMC) when the agency granted the use of a cost-saving method for burying the Block Island Wind Farm power cables at a New Shoreham beach. Both companies now likely regret that decision.

National Grid, which owns the high-voltage power line from Block Island to Narragansett, expects to pay $30 million for its share of the reconstruction, which will require horizontal directional drilling. The state’s primary electric utility will recover the expense through an undetermined surcharge on ratepayers’ bills.

“While exact bill impacts won’t be available for some time, we don’t anticipate major fluctuations to those charges with these needed repairs,” National Grid spokesperson Ted Kresse said.

The power line from the five-turbine Block Island Wind Farm reaches shore at Fred Benson Town Beach and leaves New Shoreham for Narragansett at Crescent Beach to the north. But keeping portions of the cable buried at Crescent Beach has been a struggle.

Read the full story at EcoRI