New York Bight lease sale has potential to power nearly two million homes
Republicans like Congressman Lee Zeldin, who is seeking to take over as Governor of New York, are still wedded to fossil fuels and determined if they regain control, to reverse course on efforts to transition to a clean renewable energy economy, society, and environment and stem the tide of climate change. This was clear when Zeldin chided President Joe Biden at a pro-Ukraine rally in Long Island for canceling the Keystone Pipeline, which he somehow suggested would have countered impact of sanctions against Nordstrom 2.
But even as Biden leads a global alliance to counter Putin’s criminal aggression against Ukraine, and makes a historic nomination of the first Black woman to the Supreme Court, makes historic investments in infrastructure to clean up the environment, develop the economy, promote competition and address supply chain issues, his administration is forging ahead with historic climate actions. In the latest, the administration reports setting records for offshore energy development with $4.37 billion in winning bids for wind sale.
Of course, the correct answer to reducing dependency on fossil fuel is what the Biden-Harris Administration is doing: transitioning to clean, renewable energy that can be generated in localities, so less vulnerable to geopolitics and cyberattacks.
This is from the Department of the Interior:
WASHINGTON — The Department of the Interior announced the results of the nation’s highest-grossing competitive offshore energy lease sale in history, including oil and gas lease sales, with the New York Bight offshore wind sale. These results are a major milestone towards achieving the Biden-Harris administration’s goal of reaching 30 gigawatts of offshore wind energy by 2030. Today’s lease sale offered six lease areas totaling over 488,000 acres in the New York Bight for potential wind energy development and drew competitive winning bids from six companies totaling approximately $4.37 billion.
A recent report indicates that the United States’ growing offshore wind energy industry presents a $109 billion revenue opportunity to businesses in the supply chain over the next decade.
“This week’s offshore wind sale makes one thing clear: the enthusiasm for the clean energy economy is undeniable and it’s here to stay,” said Secretary Deb Haaland. “The investments we are seeing today will play an important role in delivering on the Biden-Harris administration’s commitment to tackle the climate crisis and create thousands of good-paying, union jobs across the nation.”
The provisional winners of today’s lease sale are:
OW Ocean Winds East, LLC
Attentive Energy LLC
Bight Wind Holdings, LLC
Atlantic Shores Offshore Wind Bight, LLC
Invenergy Wind Offshore LLC
Mid-Atlantic Offshore Wind LLC
A map of the lease areas auctioned today can be found on the BOEM website.
Before the leases are finalized, the Department of Justice and Federal Trade Commission will conduct an anti-competitiveness review of the auction, and the provisional winners will be required to pay the winning bids and provide financial assurance to Interior’s Bureau of Ocean Energy Management (BOEM).
The New York Bight offshore wind leases include innovative stipulations designed to promote the development of a robust domestic U.S. supply chain for offshore wind energy and enhance engagement with Tribes, the commercial fishing industry, other ocean users and underserved communities. The stipulations will also advance flexibility in transmission planning. Stipulations include incentives to source major components domestically – such as blades, turbines and foundations – and to enter into project labor agreements to ensure projects are union-built.
“We must have a robust and resilient domestic offshore wind supply chain to deliver good-paying, union jobs and the economic benefits to residents in the region,” said BOEM Director Amanda Lefton. “Because we understand the value of meaningful community engagement, we are requiring lessees to report their engagement activities to BOEM, specifically noting how they’re incorporating any feedback into their future plans.”
On Jan. 12, Secretary Haaland, New Jersey Governor Phil Murphy and New York Governor Kathy Hochul announced a shared vision for developing a robust offshore wind energy domestic supply chain that will deliver benefits to residents of New York and New Jersey and the surrounding region, including underserved communities. This collaboration will serve as a model for future engagement and establish the U.S. as a major player in the global offshore wind energy market.
To advance the Interior Department’s environmental justice and economic empowerment goals, lessees will be required to identify and make efforts to engage with Tribes, underserved communities, and other ocean users who could be affected by offshore wind energy development. The Department will hold companies accountable for improving their engagement, communication and transparency with these communities.
These additions are intended to promote offshore wind energy development in a way that coexists with other ocean uses and protects the ocean environment, while also securing our nation’s energy future for generations to come. BOEM initially asked for information and nominations of commercial interest on 1.7 million acres in the New York Bight. Based on BOEM’s review of scientific data and extensive input from the commercial fishing industry, Tribes, partnering agencies, key stakeholders, and the public, BOEM reduced the acreage offered for lease by 72% to avoid conflicts with ocean users and minimize environmental impacts. BOEM will continue to engage with the public, ocean users, and key stakeholders as the process unfolds.
The Administration has already made significant progress toward creating a pipeline of projects. It has approved and celebrated the groundbreaking of the nation’s first two commercial-scale offshore wind projects in federal waters: the 800-megawatt Vineyard Wind project and the 130-megawatt South Fork Wind project. BOEM expects to review at least 16 plans to construct and operate commercial offshore wind energy facilities by 2025, which would represent more than 22 GW of clean energy for the nation.
In addition, this past fall Secretary Haaland announced a new leasing path forward, which identified up to seven potential lease sales by 2025, including the New York Bight and offshore the Carolinas and California later this year, to be followed by lease sales for the Central Atlantic, Gulf of Maine, the Gulf of Mexico, and offshore Oregon.
More information about today’s auction can be found on BOEM’s website.
South Fork Wind Project to Kickstart New York’s Offshore Wind Industry, Provide Clean Energy to Long Island
Supports the Climate Leadership and Community Protection Act Goal to Develop 9,000 Megawatts of Offshore Wind by 2035
New York State Governor Kathy Hochul, alongside United States Secretary of the Interior Deb Haaland and other elected officials, on February 11 celebrated the start of construction of South Fork Wind, New York’s first offshore wind project, jointly developed by Ørsted and Eversource off the coast of Long Island. Building on the Bureau of Ocean Energy Management’s (BOEM) January issuance of the Final Sale Notice for the New York Bight, the recent key offshore wind contract milestone, and the State of the State announcement of a nation-leading $500 million investment in offshore wind ports, manufacturing, and supply chain infrastructure to accompany New York’s next offshore wind solicitation, New York continues to advance the Climate Leadership and Community Protection Act goal to develop 9,000 megawatts of offshore wind by 2035.
“The harsh impacts and costly realities of climate change are all too familiar on Long Island, but today as we break ground on New York’s first offshore wind project we are delivering on the promise of a cleaner, greener path forward that will benefit generations to come,” Governor Hochul said. “South Fork Wind will eliminate up to six million tons of carbon emissions over the next twenty-five years benefiting not only the Empire State, but our nation as a whole. This project will also create hundreds of good-paying jobs, helping spur economic growth across the region as we continue to recover from COVID-19. This is a historic day for New York, and I look forward to continue working with Secretary Haaland as we lead our nation toward a greener, brighter future for all.”
“America’s clean energy transition is not a dream for a distant future – it is happening right here and now,” US Department of Interior Secretary Deb Haaland said. “Offshore wind will power our communities, advance our environmental justice goals, and stimulate our economy by creating thousands of good-paying union jobs across the nation. This is one of many actions we are taking in pursuit of the President’s goal to improve both the lives of American families and the health of our planet.”
The Governor, who made today’s announcement in Wainscott, celebrated South Fork Wind kickstarting New York’s offshore wind generation when it becomes operational in late 2023. South Fork Wind will be one of the first commercial-scale offshore wind projects to commence operation in North America. Selected under a 2015 Long Island Power Authority (LIPA) request for proposals to address growing power needs on the east end of Long Island, the project will be located about 35 miles east of Montauk Point and its 12 Siemens-Gamesa 11 MW turbines will generate approximately 130 megawatts of power – enough to power over 70,000 homes. Its transmission system will deliver clean energy directly to the electric grid in the Town of East Hampton. Over a 25-year period, South Fork Wind is expected to eliminate up to six million tons of carbon emissions, or the equivalent of taking 60,000 cars off the road annually.
NYSERDA President & CEO Doreen M. Harris said, “With construction beginning on the South Fork Wind project, we are solidifying New York State’s clean energy vision and blazing a trail as we lead the nation in offshore wind development. As our state’s first offshore wind project, South Fork is helping to usher in the grid of the future as New York continues to build the most robust offshore wind project and supply chain in the nation, strengthen workforce development and partnerships with labor to provide a pipeline of talent for these critical projects, and establish the green economy that will power New York for years to come.”
Long Island Power Authority CEO Thomas Falcone said,”In 2017, the forward-thinking approach of the LIPA Board of Trustees led to the approval of the South Fork Wind project at a time when there were no other power purchase agreements for offshore wind in the country,” Long Island Power Authority CEO Thomas Falcone said. “As the first offshore wind farm in New York, South Fork Wind is the beginning of a new industry for our region that will be vital to New York meeting its goal of a zero-carbon electric grid by 2040.”
Indeed, the campaign to get offshore wind power for Long Island and New York State has been years in the making – activists had to battle back against efforts by fossil fuel industry to create NLG terminals in the very area the best in the nation for an offshore wind farm. But just as everything was in place, in 2017, Trump reversed course on promoting clean, renewable energy in favor of fossil fuel and even reignited the prospect of off-shore drilling. The Biden Administration moved swiftly to restart offshore windpower – in California and in New York, seeing the benefits of climate-action initiatives as not only protecting the environment and the economy but promoting jobs.
Department of Environmental Conservation (DEC) Commissioner Basil Seggos said,”New York is setting the example for the nation on tapping into the potential of offshore wind to help meet our energy needs while the state transitions to a cleaner, greener energy future. South Fork Wind is an exciting and transformative project that will help achieve our state’s ambitious goals to reduce greenhouse gas emissions and ramp up renewable energy sources while safeguarding our natural resources and driving new economic opportunities here on Long Island and across the state.”
“South Fork Wind’s groundbreaking is a historic milestone for New York’s offshore wind industry and for all New Yorkers in our efforts to address climate change,” Acting Secretary of State Robert J. Rodriguez said. “The Department of State continues to work with our stakeholders and government partners to minimize potential project impacts and avoid disruptions to our coastal economy as we transition to a cleaner, greener future. Through our combined efforts, New Yorkers will continue to enjoy Long Island’s pristine beaches and the rich ocean resources off our State as we reduce the State’s carbon footprint.”
“This significant milestone solidifies New York’s global leadership in the clean economy,” New York State Department of Labor Commissioner Roberta Reardon said. “The groundwork we lay today is creating new, exciting employment opportunities for New Yorkers while also protecting our environment for future generations. As Co-chair for the Just Transition Working Group, I thank Governor Hochul for leading the charge and for her unending commitment to ensuring the inclusion of disadvantaged communities in this movement.”
Public Service Commission Chair Rory M. Christian said, “The South Fork project will play a key role in developing much needed clean-energy for New York State and it will help New York achieve its nation-leading renewable energy goals while creating jobs and opportunities for individuals and industries. South Fork is a win for Long Island, and a win for all New Yorkers.”
Office of General Services (OGS) Commissioner Jeanette M. Moy said, “The start of the first off-shore wind project in New York State demonstrates Governor Hochul’s strong commitment to meeting the challenges of sustainability and ensuring New York’s future is green. OGS is proud to have a role in the South Fork Wind project and in advancing the State’s forward-looking climate and green-energy initiatives.”
“Offshore wind is crucial to fueling a green economy and promoting sustainable economic opportunities,” Empire State Development Acting Commissioner and President & CEO-designate Hope Knight said. “The start of construction at New York State’s first offshore wind project at South Fork Wind signifies at important step towards achieving clean energy goals and creating green jobs, which advances Empire State Development’s mission to prepare our economy for the future. With today’s announcement, New York State will continue to be leaders in the fight against climate change while strengthening our standing in offshore wind manufacturing.”
This milestone follows BOEM’s approval last month of the project’s Construction and Operations Plan (COP). The COP outlines the project’s one nautical mile turbine spacing, the requirements on the construction methodology for all work occurring in federal ocean waters, and mitigation measures to protect marine habitats and species. BOEM’s final approval of the COP follows the agency’s November 2021 issuance of the Record of Decision, which concluded the thorough BOEM-led environmental review of the project.
Senator Todd Kaminsky said,”Today’s announcement helps solidify New York as a leader in the green economy. The CLCPA set the most aggressive goals in the country and offshore wind on Long Island is central to meeting them. This project is a catalyst and shows that you can think big and get it done on Long Island.”
Assemblymember Steve Englebright said,”The South Fork Wind Project is a key first step to our state’s commitment to reducing greenhouse gases and meeting the challenge of climate change. I applaud Governor Hochul’s vision and determination to advance and enhance New York’s renewable wind energy portfolio.”
Assemblymember Fred Thiele said,”I’m proud to say that Long Island is an emerging trailblazer in renewable energy and will soon lead the state and the nation in offshore wind energy production. South Fork Wind Farm opens an exciting new chapter for us here on the East End, and I look forward to soon having a greener grid powered by this historic investment. I thank Governor Hochul for her continuous leadership and support.”
“Long Island has been a leader in all things clean energy, and as we begin construction on New York’s first wind farm, we are changing how we power our homes and businesses here in Suffolk,” Suffolk County Executive Steve Bellone said. ”This historic project, which puts Suffolk County at the heart of the offshore wind industry and will power roughly 70,000 homes, is a major victory for our economy, for labor, and for our environment as we remain committed to addressing the impacts of climate change on our region.”
East Hampton Town Supervisor Peter Van Scoyoc said,”In 2014 East Hampton was the first municipality in New York to adopt a 100% renewable energy goal. Today, with the beginning of the construction of New York’s first offshore wind farm we are very close to reaching that goal. We applaud Governor Hochul’s nation leading investment in offshore wind energy which puts New York at the forefront of our country’s efforts to combat climate change.”
New York League of Conservation Voters President Julie Tighe said, “Today, we are moving from concept to reality with the groundbreaking of South Fork Wind Farm, New York’s first offshore wind project. Congratulations to Ørstedand Eversource! This day is the culmination of years of perseverance to launch this project and new industry that will change the way we power our economy. We have a long way to go to meet our climate goals, but major investments like this combined with the leadership and commitment of Governor Hochul, Secretary Haaland, and BOEM Director Lefton are setting us on the course for a clean energy revolution.”
“With the start of construction on New York’s first offshore wind farm, we continue to deliver on our vision of a new U.S. energy industry that will generate clean power, jobs, and economic opportunity,” Ørsted Offshore North America CEO David Hardy said. “I am grateful for the many champions who have supported South Fork Wind to get us to this critical moment, and for the Biden Administration and New York’s leadership and commitment to the offshore wind industry.”
Eversource Energy President & CEO Joe Nolan said, “Today we make history as we celebrate the start of construction on New York’s first offshore wind farm. As homegrown experts in regional energy transmission, we have led the way on countless infrastructure projects, but today, we commemorate something entirely new and different. For the very first time, we will be leveraging our expertise to harness the vast, untapped potential of offshore wind.”
Nassau Suffolk Building and Construction Trades Council President Marty Aracich said, “The start of the construction phase for Offshore Wind marks a new era in reaching New York State’s goal of significantly reducing emissions. The skilled trades have a role by placing shovels in the ground as they implement the last leg of this relay race and position NYS to reign supreme along the Eastern Seaboard in combating climate change. Governor Hochul’s shared vision and commitment with NYSERDA enhances the alliance of Orsted/Eversource and North America’s Building Trades Unions. New York State remains focused on providing opportunities that will create a local workforce leading to a brighter, cleaner future for generations to come. Many thanks to Governor Hochul, Secretary of Interior Deb Harland, Amanda Lefton, Doreen Harris, and our partners in Labor for providing leadership as well as a moral compass guiding the earth on a path to heal itself.”
Long Island Federation of Labor, AFL-CIO President John R. Durso said,”This is a victory for Long Island and all New Yorkers. This is not only a crucial step forward in the fight against climate change, but it means jobs and new clean energy resources on Long Island where it is needed most. After many years of hard work in planning and development by Ørsted and Eversource, with support from labor and community allies, we are realizing the success we have all been waiting for.”
South Fork Wind will be built under industry-leading project labor agreements and specific partnerships with local union organizations, ensuring local union labor’s participation in all phases of construction on the project. Onshore construction activities for the project’s underground duct bank system and interconnection facility are the first to begin and will source construction labor from local union hiring halls. Ørsted and Eversource reached these provisions and protections working closely with a range of external organizations and experts, a commitment the companies carry to all stakeholder relationships to support coexistence.
Long Island-based contractor Haugland Energy Group LLC (an affiliate of Haugland Group LLC) was selected to install the duct bank system for the project’s underground onshore transmission line and lead the construction of the onshore interconnection facility located in East Hampton. This agreement will create more than 100 union jobs for Long Island skilled trades workers, including heavy equipment operators, electricians, lineworkers, and local delivery drivers who will support transportation of materials to the project site. Fabrication of the project’s offshore substation is already underway.
New York State has five offshore wind projects in active development, the largest portfolio in the nation. This current portfolio totals more than 4,300 megawatts and will power more than 2.4 million New York homes, and it is expected to bring a combined economic impact of $12.1 billion to the state. The projects are also expected to create more than 6,800 jobs in project development, component manufacturing, installation, and operations and maintenance. Achieving the State’s 9,000 megawatt by 2035 goal will generate enough offshore wind energy to power approximately 30 percent of New York State’s electricity needs, equivalent to nearly 6 million New York State homes, and spur approximately 10,000 jobs.
New York State’s Nation-Leading Climate Plan
New York State’s nation-leading climate agenda is the most aggressive climate and clean energy initiative in the nation, calling for an orderly and just transition to clean energy that creates jobs and continues fostering a green economy as New York State recovers from the COVID-19 pandemic. Enshrined into law through the Climate Leadership and Community Protection Act, New York is on a path to achieve its mandated goal of a zero-emission electricity sector by 2040, including 70 percent renewable energy generation by 2030, and to reach economy wide carbon neutrality.
It builds on New York’s unprecedented investments to ramp-up clean energy including over $33 billion in 102 large-scale renewable and transmission projects across the state, $6.8 billion to reduce buildings emissions, $1.8 billion to scale up solar, more than $1 billion for clean transportation initiatives, and over $1.6 billion in NY Green Bank commitments. Combined, these investments are supporting nearly 158,000 jobs in New York’s clean energy sector in 2020, a 2,100 percent growth in the distributed solar sector since 2011 and a commitment to develop 9,000 megawatts of offshore wind by 2035.
Under the Climate Act, New York will build on this progress and reduce greenhouse gas emissions by 85 percent from 1990 levels by 2050, while ensuring that at least 35 percent with a goal of 40 percent of the benefits of clean energy investments are directed to disadvantaged communities, and advance progress towards the state’s 2025 energy efficiency target of reducing on-site energy consumption by 185 trillion BTUs of end-use energy savings.
New York State Governor Kathy Hochul today at the Port of Albany, alongside U.S. Secretary of Energy Jennifer M. Granholm, Congressman Paul Tonko and other elected officials, announced the finalization of contracts between the New York State Energy Research and Development Authority (NYSERDA) and Empire Wind Offshore LLC and Beacon Wind LLC, each a 50-50 partnership between Equinor and bp, for the Empire Wind 2 and Beacon Wind offshore wind projects, representing a key milestone in the advancement of offshore wind development in New York State.
“We know what it takes to build and sustain for the future, it’s in our DNA as New Yorkers,” Governor Hochul said. “By advancing these significant offshore wind projects, we can maintain our cadence for developing projects that will spur much-needed green job creation and investment. No state has felt the impacts of climate change more than New York State, and now more than ever, we can continue to lead the way with our ambitious, nation-leading vision to transition to a renewable energy and a cleaner, greener future.”
Today’s announcement formally closes the State’s second offshore wind competitive solicitation and also includes the first awards for the State’s Offshore Wind Training Institute. Coupled with this week’s issuance of the Bureau of Ocean Energy Management’s (BOEM) Final Sale Notice for the New York Bight and the State of the State announcement of a nation-leading $500 million investment in offshore wind ports, manufacturing, and supply chain to be integrated within NYSERDA’s 2022 solicitation, these events represent a significant step forward in advancing the Climate Leadership and Community Protection Act goal to develop 9,000 megawatts of offshore wind by 2035.
“Hats off to Governor Hochul for taking a huge step towards lowering energy bills for New York households, creating thousands of good-paying jobs, and advancing President Biden’s goal of a robust offshore wind industry in America,” U.S. Secretary of Energy Jennifer M. Granholm said. “We can and will overcome the challenge of climate change, and we’ll do it one clean energy worker at a time.”
Senator Gillibrand said,”As we celebrate New York’s innovation in clean energy this week in Albany, I’m thrilled to announce this key partnership between the New York State Energy Research and Development Authority and Empire Wind Offshore LLC and Beacon Wind LLC. This marks another milestone in our state’s leadership and innovation in clean energy and offshore wind development. I look forward to continuing our great work to bring clean energy jobs and technology to New York.”
“We know New York’s potential for offshore wind development is tremendous,” Congressman Paul Tonko said. “Today’s exciting news will play a pivotal role in expanding this industry, creating good-paying jobs, training the energy workforce of the future, and helping address our most pressing climate challenges. Thanks to all involved in this forward-thinking announcement that invests in our region and pushes New York further down the path to becoming a powerhouse of wind manufacturing.”
NYSERDA President and CEO Doreen M. Harris said, “New York State has been steadfast in its commitment to establish itself as the leading offshore wind market in the nation and a global wind energy manufacturing powerhouse. These contracts with Equinor further solidify our progress and will create new economic opportunities while building a new electric grid powered by clean, renewable energy that paves our way to a healthier and more sustainable future.”
The 1,260-megawatt Empire Wind 2 and 1,230-megawatt Beacon Wind projects were provisionally awarded in January 2021 as a result of NYSERDA’s second offshore wind competitive solicitation. Expected to enter into commercial operation in 2027 and 2028, respectively, the projects will strengthen New York’s economy and further drive investments in ports to directly support offshore wind projects while establishing New York as the hub of the offshore wind supply chain. NYSERDA payments to the projects will commence once they obtain all required permits and approvals, complete construction, and begin delivering power to New York.
The final project contracts are available on NYSERDA’s website and include commitments to the following key benefits:
Unprecedented public and private funding commitments of $644 million in port infrastructure, including:
$357 million in the nation’s first offshore wind tower manufacturing facility to be built at the Port of Albany
More than $287 million in an offshore wind staging and assembly facility at the South Brooklyn Marine Terminal (SBMT), owned by the City of New York and managed by New York City Economic Development Corporation (NYCEDC)
More than $8.9 billion in anticipated in-state spending and the creation of more than 5,200 jobs backed by prevailing wage and project labor agreement commitments.
The average bill impact for customers will be approximately 0.8 percent, or about $0.95 per month. Total project costs, including a cost-effective average all-in development cost of $80.40 per megawatt hour, are approximately seven percent lower than those of NYSERDA’s 2018 awards, signaling offshore wind is a competitively priced renewable energy resource with tremendous benefits.
Equinor Wind US President Siri Espedal Kindem said, “Today’s announcement sets Equinor and bp on the path to provide over 3.3 GWs of offshore wind power for New York. It also offers a large-scale, tangible demonstration of the incredible economic activity and carbon reduction potential being driven by New York’s green energy transition. We are proud to help lead the growth of this exciting industry in New York.”
“These are world class assets and we are moving quickly and safely to get them producing the energy people need in the way that they want it – all the while creating positive ripple effects for the surrounding communities and industry,” bp Senior Vice President for Zero Carbon Energy Felipe Arbelaez said. “Today’s milestone is a critical step forward and we will continue to work hard to deliver the Empire Wind and Beacon Wind projects, providing clean energy and stable returns for decades to come.”
Director of the New York Offshore Wind Alliance Fred Zalcman said, “Today’s suite of announcements moves the state inexorably closer to realization of its’ nation-leading goal of 9,000 MW by 2035 and secures New York as the undisputed economic epicenter for the emerging offshore wind industry. We congratulate NYSERDA and the Equinor-bp joint venture on achieving this major commercial milestone, as well as the recipients of the first training grants to support the first generation of skilled workers to be deployed on these New York’s groundbreaking projects.”
“This is another important step toward reducing emissions, securing New York’s place in the offshore wind industry, and creating good union jobs and careers in communities across the state,” Executive Director of Climate Jobs NY Jeff Vockrodt said. “We look forward to working with the Hochul administration to ensure that these projects move forward expeditiously, that the jobs created are good family-sustaining union jobs, and that New Yorkers see the economic benefits of these investments. We are also encouraged to see that NYSERDA plans to issue the next solicitation for offshore wind power soon, which together with Governor Hochul’s recent announcement of $500 million in new supply chain investments will help build out ports and other essential offshore wind infrastructure.”
This week, Governor Hochul joined United States Secretary of the Interior Deb Haaland, and New Jersey Governor Phil Murphy to announce BOEM’s Final Sale Notice of six new leases, comprised of 488,000 total acres for offshore wind development in the New York Bight, and the release of the document “A Shared Vision on the Development of an Offshore Wind Supply Chain,” which describes a coordinated offshore wind supply chain effort between New York, New Jersey and BOEM. These additional lease areas are needed for New York and New Jersey to achieve their respective offshore wind goals and support the federal government’s offshore wind goal of 30,000 megawatts by 2030.
Keeping pace to be the U.S. leader in the offshore wind industry, New York will launch its third statewide solicitation round in early 2022. As announced in Governor Hochul’s 2022 State of the State address, NYSERDA’s next solicitation is expected to result in at least 2 gigawatts of new projects — enough to power 1.5 million homes, bringing the state’s combined total to more than 4.5 million homes powered by offshore wind. NYSERDA will couple this procurement with a $500 million offshore wind infrastructure investment to catalyze private investments to build the critical infrastructure needed to assure New York’s prominence as the hub for this burgeoning industry. The solicitation will include improvements to the approach for offshore transmission based on recommendations from the New York State Power Grid Study, increased emphasis on in-state manufacturing, inclusive economic development and climate equity, an emphasis on close relations with New York’s labor force including construction backed by prevailing wage and project labor agreements, and additional scoring credit for projects that propose to repurpose existing downstate fossil-based electric generation infrastructure and utilize energy storage to enhance future system reliability.
New York State Department of Labor Commissioner Roberta Reardon said, “Offshore wind is breathing fresh air into New York’s economy. With the support of a well-trained workforce, this emerging sector will bring economic prosperity for years to come. I thank Governor Hochul for continuing to strategically invest in our economy, our environment, and New York’s workforce.”
“Offshore wind ports will fuel both a green economy and economic opportunities,” Empire State Development Acting Commissioner and President & CEO-designate Hope Knight said. “Empire Wind 2 and Beacon Wind will make New York State greener and create green jobs, which advances Empire State Development’s mission to prepare our economy for the future. With today’s announcement, New York will continue to be leaders in the fight against climate change and production of green energy and green jobs – bringing us closer to the State’s ambitious climate goals.”
President and CEO of the Center for Economic Growth Mark Eagan said,”We are witnessing the birth of a sector that is not only new to New York State, but the entire country. It’s real and it’s concentrating here – in the Capital Region. New York State is a pioneer in the offshore wind industry, and we are deeply thankful for the vision and commitment of Governor Hochul and NYSERDA. We congratulate Equinor, bp, and the Port of Albany on this contract, which will help transform our economy and provide good-paying jobs. CEG started globally marketing the region’s offshore wind potential three years ago, and that has helped yield this nation-leading investment with more on the way. CEG will continue to work with its partners to leverage state and federal dollars to further build out the Capital Region as the location-of-choice for offshore wind component manufacturing.”
Adrienne Esposito, Executive Director, Citizens Campaign for the Environment said, “This announcement is one step forward for wind power, and a giant leap for a cleaner energy future. It is thrilling to see significant progress that guides our transition from fossil fuels to renewable energy. The public strongly supports this transition and New York is delivering! As we build a green economy and advanced offshore wind, we are fulfilling the commitment to make New York a leader in the battle to fight climate change. Thank you to Governor Hochul and NYSERDA for continuing to forge a pathway of progress.”
These advancements build on New York’s continued responsible and cost-effective approach to developing offshore wind, including NYSERDA’s recently published Guiding Principles for Offshore Wind Stakeholder Engagement, and Request for Information seeking feedback from the public and interested stakeholders to identify topics to consider in the analysis of offshore and onshore cable corridors. NYSERDA will also initiate a new Offshore Wind Master Plan 2.0: Deep Water to unlock the next frontier of offshore wind development this year.
New York State has five offshore wind projects in active development, the largest portfolio in the nation. This initial portfolio totals more than 4,300 megawatts and will power more than 2.4 million New York homes and is expected to bring a combined economic impact of $12.1 billion to the state. The projects are also expected to create more than 6,800 jobs in project development, component manufacturing, installation, and operations and maintenance. Achieving the State’s 9,000 megawatt by 2035 goal will generate enough offshore wind energy to power approximately 30 percent of New York State’s electricity needs, equivalent to nearly 6 million New York State homes, and spur approximately 10,000 jobs.
Offshore Wind Training Institute
Also announced today were the first round of competitive awards under the State’s $20 million Offshore Wind Training Institute, the largest public investment in offshore wind workforce development by any state in the U.S. Through a partnership between the State University of New York’s Farmingdale State College and Stony Brook University on Long Island, the training institute aims to advance offshore wind training programs and the educational infrastructure needed to establish a skilled workforce that can support the emerging national offshore wind industry. The Institute will certify and train 2,500 New York workers beginning this year to support both offshore and onshore renewable energy projects.
The first two winning proposals will receive a combined $569,618 to support early training and skills development for disadvantaged communities and priority populations – including veterans, individuals with disabilities, low-income individuals, homeless individuals, and single parents – in both the Capital Region and New York City. Awardees include:
Hudson Valley Community College in Troy, NY (HVCC)
LaGuardia Community College in Queens, NY (LAGCC)
To help build a strong pipeline for the Capital Region’s offshore wind initiative, HVCC recently began offering a two-year associate degree in welding and fabrication and will focus student recruitment efforts on priority populations in urban and rural disadvantaged communities, providing full or partial scholarships to participants. Foundational welding skills training will be provided by the Capital Region Educational Opportunity Center, a division of HVCC with additional non-credit training and certifications be provided at the college’s main campus. The college will also partner with regional manufacturers building turbine components to provide a skilled workforce pipeline of welders and fabricators, aiming to train 75 individuals, including 65 from priority populations and disadvantaged communities.
LAGCC is partnering with Siemens Gamesa to build an inclusive offshore wind workforce that ensures a robust local talent pipeline for the construction, repair, and maintenance of offshore wind facilities in the New York City metro area. The college will convene employers to detail the skill gaps for both new entrants to the workforce and incumbent workers in the construction trades to help inform and develop a best-in-class custom curriculum. A total of fifty low-income individuals from the Brooklyn-Queens waterfront will be trained to work as offshore wind technicians.
Penny Hill, Dean of Economic Development and Workforce Initiatives for HVCC, said, “Hudson Valley Community College is committed to helping supply the workforce for New York State’s clean energy future. In addition to those trained in welding and fabrication, the college is ready to provide other educational opportunities to support the offshore wind industry. We look forward to partnering with manufacturers to provide job training and build stronger, more resilient communities.”
“Building an inclusive offshore wind workforce will allow us to ensure that low-income communities of color and other communities that have been left behind in the past have a chance to lead the green economy of the future,” Hannah Weinstock, Senior Director of Workforce Development for LAGCC, said.
NYS’s Nation-Leading Climate Plan
New York State’s nation-leading climate agenda is the most aggressive climate and clean energy initiative in the nation, calling for an orderly and just transition to clean energy that creates jobs and continues fostering a green economy as New York State recovers from the COVID-19 pandemic. Enshrined into law through the Climate Leadership and Community Protection Act, New York is on a path to achieve its mandated goal of a zero-emission electricity sector by 2040, including 70 percent renewable energy generation by 2030, and to reach economy wide carbon neutrality. It builds on New York’s unprecedented investments to ramp-up clean energy including over $33 billion in 102 large-scale renewable and transmission projects across the state, $6.8 billion to reduce buildings emissions, $1.8 billion to scale up solar, more than $1 billion for clean transportation initiatives, and over $1.6 billion in NY Green Bank commitments. Combined, these investments are supporting nearly 158,000 jobs in New York’s clean energy sector in 2020, a 2,100 percent growth in the distributed solar sector since 2011 and a commitment to develop 9,000 megawatts of offshore wind by 2035. Under the Climate Act, New York will build on this progress and reduce greenhouse gas emissions by 85 percent from 1990 levels by 2050, while ensuring that at least 35 percent with a goal of 40 percent of the benefits of clean energy investments are directed to disadvantaged communities, and advance progress towards the state’s 2025 energy efficiency target of reducing on-site energy consumption by 185 trillion BTUs of end-use energy savings.
New York Bight lease sale has potential to generate up to seven gigawatts of clean energy, power nearly two million homes
WASHINGTON — Secretary of the Interior Deb Haaland announced today that the Bureau of Ocean Energy Management (BOEM) will hold a wind auction next month for more than 480,000 acres offshore New York and New Jersey, in the area known as the New York Bight. Secretary Haaland was joined by New Jersey Governor Phil Murphy, New York Governor Kathy Hochul, and Liz Shuler, President of the American Federation of Labor and Congress of Industrial Organizations, to highlight what will be the first offshore wind lease sale under the Biden-Harris administration.
The Feb. 23 auction will allow offshore wind developers to bid on six lease areas – the most areas ever offered in a single auction – as described in BOEM’s Final Sale Notice. Leases offered in this sale could result in 5.6 to 7 gigawatts of offshore wind energy, enough to power nearly 2 million homes. As offshore wind technology continues to advance, these areas may have the potential to produce even more clean energy.
“The Biden-Harris administration has made tackling the climate crisis a centerpiece of our agenda, and offshore wind opportunities like the New York Bight present a once-in-a-generation opportunity to fight climate change and create good-paying, union jobs in the United States,” said Secretary of the Interior Deb Haaland. “We are at an inflection point for domestic offshore wind energy development. We must seize this moment – and we must do it together.”
On today’s call, the leaders outlined a shared vision for developing a robust offshore wind domestic supply chain that will deliver benefits to residents of New York and New Jersey and the surrounding region, including underserved communities. This collaboration will serve as a model for future engagement and establish the U.S. as a major player in the global offshore wind market.
The Biden-Harris administration’s goal to install 30 GW of offshore wind by 2030 is complemented by state offshore wind policies and actions throughout the Northeast and Mid-Atlantic. Collectively, New York and New Jersey have set the nation’s largest regional offshore wind target of installing over 16 GW of offshore wind by 2035.
“Offshore wind holds the tremendous promise for our future in terms of climate change, economic growth, strengthening our work force, and job creation,” said Governor Phil Murphy. “New Jersey is already committed to creating nearly one-quarter of the nation’s offshore wind-generation market and these transformative projects are proof that climate action can drive investments in infrastructure and manufacturing, while creating good-paying, union jobs. By acting on this this shared vision, we can promote our joint offshore wind goals, and deliver benefits to residents of both states, particularly those in overburdened communities. Together, with this critical cooperation with the Biden-Harris administration and our state partners, we will turn this vision of becoming a leader in the global offshore wind market into a reality.”
“Here in New York, we are already living with the disastrous effects of climate change through extreme weather that pose a direct threat to our way of life,” said Governor Hochul. “We must chart an ambitious path toward a cleaner energy economy now more than ever, and today’s milestone further highlights New York’s commitment creating a greener tomorrow. This effort will require collaboration at all levels, and I applaud the Biden Administration for their action and thank Secretary Haaland and BOEM, as well as New Jersey Governor Murphy, for their partnership as we confront the climate crisis.”
A recent report indicates that the United States’ growing offshore wind industry presents a $109 billion opportunity in revenue to businesses in the supply chain over the next decade.
The New York Bight offshore wind auction will include several innovative lease stipulations designed to promote the development of a robust domestic U.S. supply chain for offshore wind and enhance engagement with Tribes, the commercial fishing industry, other ocean users, and underserved communities. The stipulations will also advance flexibility in transmission planning and make use of project labor agreements throughout the construction of offshore wind projects. Stipulations include incentives to source major components domestically – such as blades, turbines, and foundations – and to enter into project labor agreements to ensure projects are union-built.
To advance the Department’s environmental justice and economic empowerment goals, the Sale Notice also requires lessees to identify Tribes, underserved communities and other ocean users who could be affected by offshore wind development. The Interior Department will hold companies accountable for improving their engagement, communication and transparency with these communities.
These additions are intended to promote offshore wind development in a way that coexists with other ocean uses and protects the ocean environment, while also facilitating our nation’s energy future for generations to come.
BOEM initially asked for information and nominations of commercial interest for 1,735,154 acres in the Bight. Based on the bureau’s review of scientific data, and extensive input from the commercial fishing industry, Tribes, partnering agencies, key stakeholders, and the public, BOEM reduced the acreage by 72% to avoid conflicts with ocean users and minimize environmental impacts. BOEM will continue to engage with stakeholders as the process unfolds.
More information about the auction, lease stipulations, list of qualified bidders for the auction and Interior’s collaboration with New York and New Jersey can be found on BOEM’s website.
The Biden-Harris administration catalyzed the offshore wind industry by announcing the first-ever national offshore wind energy goal, creating a clear vision for the future of this innovative industry. This goal is reinforced by the Bipartisan Infrastructure Law, which will make robust investments in sustainable economies, clean energy, and climate resilience.
The Administration has already made significant progress toward creating a pipeline of projects. It has approved the nation’s first two commercial-scale offshore wind projects in federal waters: the 800-megawatt Vineyard Wind project (approved on May 11, 2021) and the 130-megawatt South Fork Wind project (approved on November 24, 2021). BOEM expects to review at least 16 plans to construct and operate commercial offshore wind energy facilities by 2025, which would represent more than 22 GW of clean energy for the nation.
This past fall Secretary Haaland announced a new leasing path forward, which identified up to seven potential lease sales by 2025, including the New York Bight and offshore the Carolinas and California later this year, to be followed by lease sales for the Central Atlantic, Gulf of Maine, the Gulf of Mexico, and offshore Oregon.
In addition, Governor Hochul announced plans to invest in offshore wind infrastructure, procure enough wind energy to power at least 1.5 million homes, initiate planning for an offshore wind transmission network, and launch the offshore wind Master Plan 2.0 Deep Water in her 2022 State of the State address. This will ensure that the state has the strongest offshore wind energy market along the Eastern Seaboard. The Governor’s plan for offshore wind will support more than 6,800 jobs, a combined economic impact of $12.1 billion statewide, and more than 4.3 gigawatts of energy, enough to power nearly 3 million homes in New York.
New Actions Advance Offshore Wind, Leverage Public Lands for Clean Energy, and Build the Bipartisan Infrastructure Law’s Transmission Lines
When President Biden came into office nearly a year ago, he pulled every lever to position America to scale up clean energy that creates good-paying, union jobs and lowers energy bills for consumers. Since then, the Biden-Harris Administration has readied offshore areas to harness power from wind, approved new solar projects on public lands, and passed the Bipartisan Infrastructure Law to build thousands of miles of transmission lines that deliver clean energy.
Today, the Biden-Harris Administration is making major leaps forward on wind, solar, transmission, and other clean energy projects to create high-quality jobs and deliver affordable, carbon pollution-free electricity across the country. Seven federal agencies are announcing clean energy projects and plans that demonstrate the Administration’s unwavering commitment to creating cleaner and cheaper energy, and the actions showcase President Biden’s unprecedented coordination activating the entire government to fight climate change, produce good-paying, union jobs, and accelerate America’s clean energy economy.
These actions include:
The Department of the Interior is holding a record-breaking offshore wind lease sale, with the most lease areas ever offered, in the New York Bight off the coasts of New York and New Jersey. The upcoming lease sale is projected to generate up to 7 gigawatts (GW) of clean energy, power two million homes, and create thousands of jobs in manufacturing, construction, operations, maintenance, and service industries in nearby communities. The sale includes innovative lease provisions that will lead to offshore wind projects being built with union labor and Made in America materials. Working together, New York, New Jersey and the federal government will build on these new lease stipulations through a new federal-state partnership that will ensure local residents—including underserved communities—benefit from new developments.
A number of agencies are working together to drive the rapid build-up of offshore wind—a brand new U.S. clean energy industry that can create nearly 80,000 good-paying jobs by 2030. For example, the Department of Transportation recently announced port investments to help develop areas that will be used to build and stage offshore wind turbine components, and efforts are underway across the Departments of Commerce, the Interior, and Energy to promote biodiversity and cooperative ocean use and support innovation across the supply chain.
The Departments of the Interior, Agriculture, Defense, Energy, and the Environmental Protection Agency are forming a new collaboration to improve the efficiency and effectiveness of reviews of clean energy projects on public lands, in order to expand solar, onshore wind, and geothermal energy, building on the Department of the Interior’s approvals over the past year of 18 onshore projects that will deliver 4.175 GW of clean energy.
The Department of Energy is launching a new Building a Better Grid initiative to accelerate the deployment of new transmission lines—as enabled by the Bipartisan Infrastructure Law—to connect more Americans to cleaner, cheaper energy. This transmission buildout will make our grid more reliable and resilient in the face of intensifying extreme weather and is critical to achieving the President’s goal of 100% carbon pollution-free electricity by 2035.
To ensure that these benefits reach all Americans, the Department of Agriculture is creating a new pilot program to support clean energy in underserved rural communities and the Department of Commerce is awarding American Rescue Plan funds to support regional coalitions to grow new industry clusters focused on clean energy deployment and job training. And the release of a new report from the National Renewable Energy Laboratory shows that the Administration’s SolarAPP+ tool is reducing permitting times for residential installations to less than one day, helping local governments fast-track rooftop solar.
Today’s announcements build on a year of unprecedented progress on clean energy deployment. Before President Biden took office, projects were stalled and agencies were hollowed out. But during his first week, the President issued an Executive Order on Tackling the Climate Crisis at Home and Abroad, which mobilized the entire federal government to activate and deploy clean energy so that Americans can reap the immense climate and economic benefits of the clean energy future.
The Administration continues to use every tool available to deploy clean energy at a record pace. But to fully seize the opportunities of a clean energy economy, President Biden is pressing forward on passing the Build Back Better Act. The historic legislation will amount to the nation’s largest investment in combatting climate change, lowering energy costs for working families, and building a clean energy future. It will support domestic manufacturing of wind turbines, solar panels, and other clean technologies; invest in workforce development programs to launch careers in these growing industries; and provide a historic set of clean energy tax credits that are more powerful and accessible. With these investments, the U.S. will lead the world on innovative climate solutions and save the average American family hundreds of dollars each year in energy costs.
As work continues to pass the Build Back Better Act, today’s announcements further the Administration’s ongoing commitment to powering our economy with clean American energy:
ADVANCING OFFSHORE WIND TO CREATE JOBS
To deploy offshore wind at the speed and scale necessary to achieve our climate goals and create tens of thousands of jobs, the Administration is announcing:
Record-Breaking Lease Sale in the New York Bight. Last year, the Administration established a Wind Energy Area in the New York Bight off the coasts of New York and New Jersey. Today, the Department of the Interior’s Bureau of Ocean Energy Management (BOEM) is announcing the Final Sale Notice of six commercial lease areas—the most ever offered—with the potential to generate 5.6 to 7 GW of clean energy across 488,201 acres. Innovative leasing provisions will encourage winning bidders to enter into Project Labor Agreements (PLA) that support union jobs. They also will financially incentivize lessees to utilize wind turbine blades, towers, and cables made in America. To promote meaningful stakeholder engagement, lessees must identify any Tribes, ocean users, underserved communities, and others potentially affected by projects and report on engagement activities.
New State-Federal Partnership. Today, Interior Secretary Deb Haaland joined New York Governor Kathy Hochul and New Jersey Governor Phil Murphy to celebrate progress in the New York Bight and announce a new collaboration between BOEM, New York, and New Jersey on offshore wind with a focus on job creation and environmental justice. Through a new shared vision and working group, these partners will work together on strengthening regional supply chains and delivering benefits to underserved communities.
DOT Port Investments for Manufacturing and Staging Hubs. The Department of Transportation (DOT) recently awarded Port Infrastructure Development Program Grants to two hubs that will strengthen the U.S. offshore wind supply chain. In Virginia, the Portsmouth Marine Terminal will receive $20 million to construct staging and storage areas for wind turbine components—supporting union jobs for dockworkers, crane operators, and building trades members. In New York, the Port of Albany will receive $29.5 million for the Offshore Wind Tower Manufacturing Port Project, which will develop vacant areas along the Hudson River for a first-of-its-kind U.S. facility for fabrication and assembly of offshore wind towers, creating hundreds of jobs in construction, manufacturing, and maritime activities. DOT announced in March 2021 that this discretionary port funding would be available to support offshore wind activities, and that climate and environmental justice considerations would factor into the review process. The Bipartisan Infrastructure Law significantly increases funding for the Port Infrastructure Development Program Grants to expand federal investments in ports.
Funding for Innovative Supply Chain and Maintenance Projects. The National Offshore Wind Research and Development Consortium is awarding over $3 million to six offshore wind R&D projects, bringing total investment through NOWRDC over the past year to $14 million. The competitive awards will fund three new supply chain projects to facilitate U.S. manufacturing, ensure quality component production, and simplify transportation of major wind plant components. Three additional projects will support asset monitoring and inspection to reduce operational costs for offshore wind farms. The NOWRDC was established in 2018 with a $20.5 million Department of Energy (DOE) investment and matching funds from the New York State Energy Research and Development Authority (NYSERDA), with follow-on contributions from state agencies in Maryland, Virginia, Massachusetts, Maine, and New Jersey—all resulting in approximately $48 million in committed funds.
NOAA-BOEM Memorandum of Understanding. The Commerce Department’s National Oceanic and Atmospheric Administration (NOAA) and BOEM are entering an interagency agreement to collaboratively advance offshore wind energy while protecting biodiversity and promoting cooperative ocean use. This partnership underscores NOAA and BOEM’s commitment to leverage their resources and expertise to responsibly deploy 30 GW by 2030 in a way that protects environmental quality, creates jobs, and advances environmental justice.
DOE Report Underscoring Need for Continued Offshore Wind Investment. The Department of Energy will be issuing a report on “Offshore Wind Energy Strategies: Regional and National Strategies to Maximize the Effectiveness, Reliability, and Sustainability of U.S. Offshore Wind Energy Development and Operation.” It outlines five strategic priorities for tapping into the enormous potential for growth and job creation in the offshore wind industry: expanding targeted federal incentives, reducing costs through innovation, improving siting and permitting processes, investing in supply chain development, and facilitating grid integration of offshore wind projects. The President’s Build Back Better Act would advance these priorities with expanded investment and production tax credits for offshore wind deployment, advanced manufacturing credits to incentivize Made in America wind turbine components, and investments across transmission planning, port infrastructure, and improved leasing and permitting processes.
These actions follow a year of interagency collaboration to jumpstart the U.S. offshore wind industry—in 2021, the Administration:
Approved the nation’s first two commercial-scale offshore wind projects, Vineyard Wind 1 and South Fork Wind, which will be built by a highly skilled, well-paid union workforce.
Developed a roadmap for holding seven offshore wind lease sales and completing reviews of 16 multi-billion dollar offshore wind projects—representing 22 GW of clean energy—by 2025.
Moving ahead in 2022, BOEM will conduct reviews of wind energy areas offshore northern California (Humboldt) and central California (Morro Bay); explore new potential Wind Energy Areas in the Gulf of Mexico and off the coasts of Oregon and the central Atlantic; and advance lease sales in the Carolina Long Bay and offshore California.
FAST-TRACKING CLEAN ENERGY ONSHORE
America’s public lands have substantial potential to support solar, wind, and geothermal energy projects. As part of ongoing efforts to advance these projects in an environmentally sound way and in close collaboration with community stakeholders, the Administration is announcing:
Five-Agency Collaboration to Expedite Reviews. The Departments of the Interior, Agriculture, Defense, Energy, and the Environmental Protection Agency have issued a new Memorandum of Understanding to improve federal agency coordination and prioritize reviews for renewable energy projects located on public lands managed by the Interior and Agriculture Departments. This collaboration will expedite decision-making by establishing interagency coordination teams with qualified staff to facilitate environmental reviews and other federal reviews.
Renewable Energy Coordination Offices. The Department of the Interior is developing plans for new Renewable Energy Coordination Offices (RECOs), authorized by the Energy Act of 2020. The RECOs will realign Bureau of Land Management resources to consolidate renewable energy work, and support collaboration on public lands renewable energy project permitting across Interior and other federal agencies.
Major Progress toward 25 GW by 2025. Since President Biden took office, the Administration has approved 18 onshore projects totaling 4.175 GW (including eight located on public lands and ten with interconnection lines on public lands) and initiated processing of another 54 priority projects with the potential to add at least 27.5 GW of clean energy. Most recently, the Bureau of Land Management approved the Arica and Victory Pass solar projects in California, which will provide up to 465 megawatts of electricity with up to 400 megawatts of battery storage. With today’s actions, the Administration will continue advancing toward the goal of permitting 25 GW of solar, onshore wind, and geothermal energy on public lands by 2025.
BUILDING CLEAN TRANSMISSION LINES
The President’s Bipartisan Infrastructure Law is the largest-ever investment in America’s power grid, including funding to build out thousands of miles of new transmission lines that are critical to unlocking clean energy resources and providing American homes, schools, and businesses with electricity that is more affordable and reliable in the face of extreme weather, wildfires, and other disasters.
To harness the new funding in the Bipartisan Infrastructure Law, today the Department of Energy is announcing a coordinated transmission deployment program, which will catalyze nationwide buildout of long-distance, high-voltage transmission lines. As outlined in a new Notice of Intent, the pillars of the “Building a Better Grid” initiative are:
Financing transmission lines and other grid upgrades, including through the Bipartisan Infrastructure Law’s new $2.5 billion Transmission Facilitation Program, a revolving fund for new, replacement, or upgraded transmission lines; $3 billion expansion of the Smart Grid Investment Grant Program, focused on advanced technologies that increase capacity and enhance flexibility of the existing grid; and more than $10 billion in grants for states, Tribes, and utilities to enhance grid resilience and prevent power outages. DOE will also leverage existing financing, including the $3.25 billion Western Area Power Administration (WAPA) Transmission Infrastructure Program, which facilitates deployment of renewable energy in WAPA’s 15-state service territory, and a number of loan guarantee programs through the Loan Programs Office.
Strengthening coordination with state and local governments, Tribal nations, and other stakeholders, including through participation in regional convenings with independent system operators (ISOs), regional transmission organizations (RTOs), state regulatory commissions, utilities, and others.
Modernizing transmission planning to drive investment to the highest-need projects, including through a new National Transmission Planning Study, National Transmission Needs Study, Offshore Wind Transmission Study, and expanded technical assistance to help states and regions with policy implementation.
Improving permitting processes, in coordination with the Infrastructure Implementation Task Force and other federal initiatives, including by helping developers provide early information to permitting agencies; using public-private partnerships to advance new transmission lines and system upgrades; and designating National Corridors in areas with transmission capacity constraints that harm consumers.
Supporting research, development, and demonstration (RD&D) of next-generation transmission technology, including through collaborations with the National Laboratories and industry partners.
Last year, the Administration laid the foundation for these efforts by revitalizing Department of Energy transmission financing assistance programs and through Department of Transportation actions to help states host transmission lines along public highways and other transportation rights-of-way.
DELIVERING BENEFITS TO COMMUNITIES ACROSS THE COUNTRY
The Administration has prioritized clean energy deployment in rural communities, providing financing for agricultural producers and rural small businesses to install solar arrays and other clean energy infrastructure and for grid upgrades across rural areas. To build on these investments, the Department of Agriculture is creating a new Rural Energy Pilot Program with $10 million in available grants for rural communities that are particularly underserved to deploy community-scale clean energy technologies, innovations, and solutions. This upcoming pilot program will also help economically distressed rural communities conduct community energy planning to advance local goals for clean, affordable, and reliable power.
Additionally, President Biden’s American Rescue Plan is driving historic economic recovery from the pandemic—including by helping communities create new jobs and industries in clean energy. The Department of Commerce’s Economic Development Administration (EDA) recently announced the finalists for Phase 1 of the Build Back Better Regional Challenge, which uses American Rescue Plan funds to support regional industry clusters that will promote equitable economic growth and workforce development. The finalists include 14 regional coalitions focused on clean energy and other climate-related industries, which will receive a combined $7 million in planning grants and compete to win awards of $25 million to $100 million for implementation. Among these finalists are projects to reuse abandoned mine lands for solar, wind, and geothermal energy generation; utilize offshore wind as a power source for hydrogen production in industrial areas; and support clean energy job training, entrepreneurship, and innovation in areas historically dependent on fossil fuel economies.
The Administration is also helping local governments speed up approvals for rooftop solar in order to unlock economic and health benefits for their communities. In July 2021, the Department of Energy launched the Solar Automated Permit Processing (SolarAPP+) tool, an online platform that enables jurisdictions to rapidly approve residential solar installation permits. Now, a new report from the National Renewable Energy Laboratory shows that in a pilot conducted in Arizona and California, the SolarAPP+ tool reduced the average permit review time to less than one day. More than 125 localities have already signed up to consider using SolarAPP+, and the Department of Energy is continuing to recruit additional communities across the country.
California will soon be a leading player in America’s transition to a clean, green energy economy. Secretary of the Interior Deb Haaland, National Climate Advisor Gina McCarthy, Under Secretary of Defense for Policy Dr. Colin Kahl, and California Governor Gavin Newsom announced an agreement to advance areas for offshore wind off the northern and central coasts of California. This significant milestone is part of the Biden-Harris administration’s goal to create thousands of jobs through the deployment of 30 gigawatts (GW) of offshore wind by 2030. These initial areas for offshore wind development could bring up to 4.6 GW of clean energy to the grid, enough to power 1.6 million homes.
The Department of the Interior, in cooperation with the Department of Defense and the State of California, has identified an area (“the Morro Bay 399 Area”) that will support 3 gigawatts of offshore wind on roughly 399 square miles off California’s central coast region, northwest of Morro Bay. The Department of the Interior is also advancing the Humboldt Call Area as a potential Wind Energy Area (WEA), located off northern California. These identified areas will enable the build out of a significant new domestic clean energy resource over the next decade or more.
“I believe that a clean energy future is within our grasp in the United States, but it will take all of us and the best-available science to make it happen. Today’s announcement reflects months of active engagement and dedication between partners who are committed to advancing a clean energy future,” said Secretary of the Interior Deb Haaland. “The offshore wind industry has the potential to create tens of thousands of good-paying union jobs across the nation, while combating the negative effects of climate change. Interior is proud to be part of an all-of-government approach toward the Biden-Harris administration’s ambitious renewable energy goals.”
Because the outer continental shelf falls away much more quickly into much deeper waters in the Pacific than it does in the Atlantic Ocean, new floating offshore wind technology will be deployed in offshore California waters. Notably, and as a further demonstration of the Biden administration’s whole-of-government approach to clean energy development, the. Department of Energy, through its Office of Energy Efficiency and Renewable Energy and ARPA-E, has invested more than $100 million in researching, developing, and demonstrating floating offshore wind technology. These investments have helped position the United States as a leader in the emerging global floating offshore wind market.
“Today’s announcement again demonstrates that by taking a whole-of-government approach, the U.S. can smartly develop our nation’s world-class offshore wind energy resources, deploy new technologies that our government has helped to advance, and create thousands of good-paying, union jobs – all in the service of combating the climate crisis,” stated National Climate Advisor Gina McCarthy. “I salute the Departments of the Interior, Defense, and Energy, and our partners in California, for all they have done to make this possible.”
In addition to contributing to the goals of the Biden-Harris administration, the development of offshore wind can help California reach its goal of carbon free energy by 2045, create good-paying, union jobs, and foster investments in coastal communities.
Offshore wind resources are typically stronger and more consistent than land-based wind and is especially strong in the evening hours when solar production drops off, ensuring that it can make an important contribution to California’s electric grid.
“Developing offshore wind to produce clean, renewable energy could be a game changer to achieving California’s clean energy goals and addressing climate change – all while bolstering the economy and creating new jobs,” Governor Gavin Newsom said. “This historic announcement, which could provide clean power for up to 1.6 million homes over the next decade, represents the innovative approach we need for a clean energy economy that protects the coasts, fisheries, marine life, and Tribal and cultural resources we value so much as Californians.”
BOEM, in partnership with California, will hold an Intergovernmental Renewable Energy Task Force meeting on June 24 to discuss the identified areas off the north and central coasts as potential WEAs. Following the task force meeting, the WEAs can be finalized and will undergo environmental analysis; BOEM will also undertake government-to-government tribal consultation. The processes for the northern and central coasts will then be merged in a Proposed Sale Notice (PSN) for one lease sale auction, targeted for mid-2022.
Today’s announcement comes after years of collaboration between the Departments of the Interior and Defense to find areas offshore the central coast of California that are compatible with the Department of Defense’s training and testing operations. The Bureau of Ocean Energy Management (BOEM) issued a Call for Information and Nominations for offshore wind on October 19, 2018, for three areas off the central and northern coasts, including Humboldt and Morro Bay.
The Department of Defense engages in significant testing, training and operations off the coast of California that are essential to national security. The Department of the Interior acknowledges the critical nature of current and future military testing, training and operations and acknowledges that ensuring the operational integrity thereof is a national security imperative. Interior’s Bureau of Ocean Energy Management will work with the Department of Defense to ensure long-term protection of military testing, training and operations, while pursuing new domestic clean energy resources.
“Tacking the climate crisis is a national security imperative and the Defense Department is proud to have played a role in this important effort,” said Dr. Colin Kahl, Under Secretary of Defense for Policy. “The Defense Department is committed to working across the U.S. government to find solutions that support renewable energy in a manner compatible with essential military operations. Throughout this effort, the Defense Department has worked tirelessly with the White House, the Department of the Interior, and the State of California to find solutions that enable offshore wind development while ensuring long-term protection for testing, training, and operations critical to our military readiness. The Defense Department applauds this step and looks forward to continued coordination to address the climate crisis.”
Interior, Energy, Commerce, and Transportation Departments Announce New Leasing, Funding, and Development Goals to Accelerate and Deploy Offshore Wind Energy and Jobs
Today, the White House convened leaders from across the Administration to announce a set of bold actions that will catalyze offshore wind energy, strengthen the domestic supply chain, and create good-paying, union jobs.
National Climate Advisor Gina McCarthy, Interior Secretary Deb Haaland, Energy Secretary Jennifer Granholm, Commerce Secretary Gina Raimondo, and Transportation Secretary Pete Buttigieg met today with state officials, industry executives, and labor leaders to announce new leasing, funding, and goals that employ President Biden’s whole-of-government approach, position America to lead a clean energy revolution, and create thousands of jobs across the country with the choice to join a union.
In his first week in office, President Biden issued an Executive Order that calls on our nation to build a new American infrastructure and clean energy economy that will create millions of new jobs. In particular, the President’s Order committed to expand opportunities for the offshore wind industry. The President recognizes that a thriving offshore wind industry will drive new jobs and economic opportunity up and down the Atlantic Coast, in the Gulf of Mexico, and in Pacific waters. The industry will also spawn new supply chains that stretch into America’s heartland, as illustrated by the 10,000 tons of domestic steel that workers in Alabama and West Virginia are supplying to a Texas shipyard where Dominion Energy is building the Nation’s first Jones Act compliant wind turbine installation vessel.
Federal leadership, in close coordination with states and in partnership with the private sector, unions and other key stakeholders, is needed to catalyze the deployment of offshore wind at scale.
Today, the Administration is taking coordinated steps to support rapid offshore wind deployment and job creation:
Advance ambitious wind energy projects to create good-paying, union jobs
Investing in American infrastructure to strengthen the domestic supply chain and deploy offshore wind energy
Supporting critical research and development and data-sharing.
Advance Ambitious Wind Energy Projects to Create Good-Paying, Union Jobs
Announcing a New Wind Energy Area. The Interior Department’s Bureau of Ocean Energy Management (BOEM) is announcing a new priority Wind Energy Area in the New York Bight—an area of shallow waters between Long Island and the New Jersey coast—which a recent study from Wood Mackenzie shows can support up to 25,000 development and construction jobs from 2022 to 2030, as well as an additional 7,000 jobs in communities supported by this development. The study indicates the New York Bight lease area also has the potential to support up to 4,000 operations and maintenance jobs annually, and approximately 2,000 community jobs, in the years following. This new Wind Energy Area is adjacent to the greater metropolitan Tri-State area— the largest metropolitan population center in the United States that is home to more than 20 million people and their energy needs. The next step is for BOEM to publish a Proposed Sale Notice, followed by a formal public comment period and a lease sale in late 2021 or early 2022.
Establishing a Target of Employing Tens of Thousands of Workers to Deploy 30 Gigawatts (30,000 megawatts) of Offshore Wind by 2030. The Departments of Interior (DOI), Energy (DOE), and Commerce (DOC) are announcing a shared goal to deploy 30 gigawatts (GW) of offshore wind in the United States by 2030, while protecting biodiversity and promoting ocean co-use. Meeting this target will trigger more than $12 billion per year in capital investment in projects on both U.S. coasts, create tens of thousands of good-paying, union jobs, with more than 44,000 workers employed in offshore wind by 2030 and nearly 33,000 additional jobs in communities supported by offshore wind activity. It will also generate enough power to meet the demand of more than 10 million American homes for a year, and avoid 78 million metric tons of CO2 emissions.
DOI action to unlock deployment potential: To position the domestic offshore wind industry to meet the 2030 target, DOI’s Bureau of Ocean Energy Management (BOEM) plans to advance new lease sales and complete review of at least 16 Construction and Operations Plans (COPs) by 2025, representing more than 19 GW of new clean energy for our nation.
Massive supply chain benefits of deploying offshore wind energy at scale: Meeting the 2030 target will catalyze significant supply chain benefits, including new port upgrade investments totaling more than $500 million; one to two new U.S. factories for each major windfarm component including wind turbine nacelles, blades, towers, foundations, and subsea cables; additional cumulative demand of more than 7 million tons of steel—equivalent to 4 years of output for a typical U.S. steel mill; and the construction of 4 to 6 specialized turbine installation vessels in U.S. shipyards, each representing an investment between $250 and $500 million.
2050 implications of meeting the 2030 goal: Achieving this target also will unlock a pathway to 110 GW by 2050, generating 77,000 offshore wind jobs and more than 57,000 additional jobs in communities supported by offshore wind activity – all while creating further economic opportunity and ensuring future generations have access to clean air and abundant renewable power.
Advancing critical permitting milestones for the Ocean Wind Offshore Wind Project. BOEM is announcing a Notice of Intent (NOI) to prepare an Environmental Impact Statement (EIS) for Ocean Wind, putting it in line to become America’s third commercial scale offshore wind project. Ocean Wind has proposed an offshore wind project with a total capacity of 1,100 megawatts (MW) — enough to power 500,000 homes across New Jersey. BOEM previously announced environmental reviews for Vineyard Wind (MA) and South Fork (RI), and anticipates initiating the environmental reviews for up to ten additional projects later this year.
Investing in American Infrastructure to Strengthen the Domestic Supply Chain and Deploy Offshore Wind Energy
Investing in Port Infrastructure to Support Offshore Wind. The U.S. Department of Transportation’s (DOT) Maritime Administration today is announcing a Notice of Funding Opportunity for port authorities and other applicants to apply for $230 million for port and intermodal infrastructure-related projects through the Port Infrastructure Development Program. Port Infrastructure Development Grants support projects that strengthen and modernize port infrastructure, and can support shore-side wind energy projects, such as storage areas, laydown areas, and docking of wind energy vessels to load and move items to offshore wind farms. In addition to supporting our nation’s long-term economic vitality, DOT’s review process will consider how proposed projects can most effectively address climate change and environmental justice imperatives.
Access to $3 billion in Debt Capital to Support Offshore Wind Industry through DOE Loan Programs Office. DOE’s Loan Programs Office (LPO) released a fact sheet to facilitate access for the offshore wind industry for $3 billion in funding through LPO’s Title XVII Innovative Energy Loan Guarantee Program. The fact sheet signals that LPO is open for business and ready to partner with offshore wind and offshore transmission developers, suppliers, and other financing partners to scale the U.S. offshore industry and support well-paying jobs. To date, LPO has provided $1.6 billion in support of projects totaling about 1,000 MW of onshore wind.
Supporting Critical Research and Development and Data-Sharing
Announcing offshore wind R&D funding through the National Offshore Wind R&D Consortium. The National Offshore Wind Research and Development Consortium (NOWRDC), created by the DOE and the New York State Energy Research and Development Authority (NYSERDA), is announcing the award of $8 million to 15 offshore wind research and development projects that were selected through a competitive process. The new projects will focus on offshore support structure innovation, supply chain development, electrical systems innovation, and mitigation of use conflicts that will help reduce barriers and costs for offshore wind deployment. The NOWRDC was established in 2018 with a $20.5 million DOE investment, matching funds from NYSERDA, and with follow-on contributions from state agencies in Maryland, Virginia, Massachusetts, and Maine—all resulting in a total investment of around $47 million.
Partnering with Industry on Data-Sharing. The Department of Commerce’s National Oceanic and Atmospheric Administration (NOAA) is signing a Memorandum of Agreement with Ørsted, an offshore wind development company, to share physical and biological data in Ørsted-leased waters subject to U.S. jurisdiction. This agreement is the first of its kind between an offshore wind developer and NOAA, and paves the way for future data-sharing agreements that NOAA expects to enter into with other developers. NOAA anticipates that Ørsted’s and other companies’ data will fill gaps in ocean science areas—particularly in ocean mapping and observing—in service of NOAA’s mission to advance climate adaptation and mitigation, weather-readiness, healthy oceans, and resilient coastal communities and economies.
Studying Offshore Wind Impacts. NOAA’s Northeast Sea Grant programs, in partnership with DOE, DOC, and NOAA’s Northeast Fisheries Science Center, is releasing a request for research proposals to support more than $1 million in grant funding to improve understanding of offshore renewable energy for the benefit of a diversity of stakeholders, including fishing and coastal communities. Grant funding will support objective community-based research in the Northeast to further understanding of the effects of offshore renewable energy on the ocean and local communities and economies as well as opportunities to optimize ocean co-use.
At today’s convening, leaders from across the Administration shared their commitment to work closely with one another and with key stakeholders to deliver the economic potential presented by offshore wind energy resources.
National Climate Advisor Gina McCarthy: “President Biden has declared very clearly that when he thinks of climate, he thinks of people and jobs—good-paying, union jobs. That’s because President Biden believes we have an enormous opportunity in front of us to not only address the threats of climate change, but use it as a chance to create millions of good-paying, union jobs that will fuel America’s economic recovery, rebuild the middle class, and make sure we bounce back from the crises we face. Nowhere is the scale of that opportunity clearer than for offshore wind. This commitment to a new, untapped industry will create pathways to the middle class for people from all backgrounds and communities.”
Secretary of Interior Deb Haaland: “For generations, we’ve put off the transition to clean energy and now we’re facing a climate crisis. It’s a crisis that doesn’t discriminate – every community is facing more extreme weather and the costs associated with that. But not every community has the resources to rebuild, or even get up and relocate when a climate event happens in their backyards. The climate crisis disproportionately impacts communities of color and low-income families. As our country faces the interlocking challenges of a global pandemic, economic downturn, racial injustice, and the climate crisis – we have to transition to a brighter future for everyone.”
Secretary of Energy Jennifer Granholm: “This offshore wind goal is proof of our commitment to using American ingenuity and might to invest in our nation, advance our own energy security, and combat the climate crisis,” said Secretary of Energy Jennifer M. Granholm. “DOE is going to marshal every resource we have to get as many American companies, using as many sheets of American steel, employing as many American workers as possible in offshore wind energy—driving economic growth from coast to coast.”
Secretary of Commerce Gina Raimondo: “The Commerce Department is committed to innovative partnerships that advance the best science and data to ensure the development of offshore wind is transparent and inclusive of all stakeholders,” said Secretary Raimondo. “We look forward to engaging the public and private sectors to invest in clean energy solutions, like offshore wind, that will contribute to our whole-of-government approach to combat the climate crisis and create high-paying, high-skilled American jobs.”
Secretary of Transportation Pete Buttigieg: “Tackling the climate crisis is vital to our nation’s future,” said U.S. Secretary of Transportation Pete Buttigieg. “The Biden-Harris Administration is taking actions that show how creating jobs and addressing climate change can and must go hand in hand. Today’s announcement makes a critical investment in our nation’s ports, which in turn builds up the resilience and sustainability of America’s economy.”
STATEMENT FROM GOVERNOR ANDREW M. CUOMO ON PRESIDENT BIDEN’S PLAN TO DEPLOY OFFSHORE WIND
“The announcement today by President Biden’s Administration of 30 gigawatts of offshore wind by 2030 represents a historic day for the United States and a tremendous leap forward in tackling global climate change by building back better with clean energy and spurring a thriving green economy, clear priorities for New York State.
“New York State has a proud legacy of being the nation’s leader on combatting climate change and embracing green energy, including executing the largest combined clean energy solicitations ever issued in U.S history and adopting the most ambitious climate and clean energy legislation in the country. We thank the Administration for immediately removing the barriers we faced the past four years with the federal government and creating a new priority Wind Energy Area in the New York and New Jersey Bight that will allow us to continue this legacy for years to come.
“We look forward to working with the Administration to further advance our nation-leading 9 gigawatts of offshore wind power, turning New York into the center of this new industry that will leverage billions in private investment for infrastructure and innovative technologies, while delivering significant climate and health benefits across the state and nation.”
Environmentalists are hailing energy and environmental legacy initiatives in New York State proposed by Governor Andrew Cuomo in his his annual State of the State and budget address.
“Governor Cuomo made historic commitments today
supporting the advancement of clean energy throughout the state,” stated Lisa Dix, Senior New York Campaign Manager
for the Sierra Club. “With a mandate to source 70 percent of the state’s
energy through renewables by 2030, doubling New York’s distributed solar target
and quadrupling the current offshore wind targets, the Governor has proven that
he is a national leader determined to make New York a 21st century, renewable
energy, economic powerhouse. Through massive investments in offshore wind ports
and clean energy job training centers, New York will be the regional hub for
the offshore wind industry. Working with the administration, climate-affected
communities and labor, we will create long-term, family-wage jobs, while
supporting a robust supply chain and multiplying economic development
opportunities for New Yorkers.”
The initiatives include commitments to:
New York’s “Green New Deal”: The Governor restated his December
goal of making New York 100 percent carbon neutral by 2040. The Administration
will map how New York will achieve carbon neutrality, while providing a just
and fair transition for communities and workers. This initiative includes a $10 billion “Green Future Fund” that supports
climate priorities and emissions reduction goals and $70 million to provide
initial funding for communities affected by the clean energy transition.
Increased Clean Energy Standard Target: New York is now the second state after Hawaii with the most
ambitious clean energy targets in the nation, with a new goal of sourcing 70
percent of New York’s electricity from renewable energy by 2030, including the
most ambitious off-shore windpower program in the country. This doubles the
current targets for energy storage, distributed solar, large scale solar and
wind and quadruples the offshore wind targets.
Increased Green Infrastructure and Jobs: With the Governor
committing to building nearly four times more offshore wind by 2035 than he
initially stated, this is the most ambitious offshore wind generation
commitment in the country. New York will nearly triple the offshore wind
commitment any state has made before. Additionally, about $200 million of the
budget will be invested in building offshore wind ports and clean energy job
Clean Transportation and Congestion Pricing: The Governor urged
the legislature to pass congestion pricing legislation to make the Metro
Transit Authority (MTA) more reliable for years to come. Through congestion
pricing, the state would make $15 billion to invest back into the MTA. The
Governor also committed to over $3 billion in funding for clean energy and
clean transportation infrastructure for electric vehicles and charging
infrastructure. The Governor, however, fell short in setting an enforceable
commitment to reducing emissions from New York’s transportation sector, the
economic sector responsible for the most climate/carbon pollution in New York
Governor Andrew Cuomo sees the opportunity to create a new industry centered largely on Long Island to take advantage of the offshore windpower in an area of the Atlantic Ocean, considered “the Saudi Arabia of windpower.” In this, the state is acting much like other nations which jumpstart new industries by funding critical studies, research centers, workforce development. This is all to ease the way, lessen the risk and increase likelihood of success for the private companies which are expected to vie for leases from the federal Bureau of Ocean Energy Management (BOEM).
Cuomo has set a standard of the state generating 50% of its energy needs through renewable by 2030, and offshore wind, in addition to solar, hilltop windpower, hydroelectric and other sources (“all of the above”) are considered essential to meeting that goal, which Cuomo has proudly declared the most ambitious in the nation.
The New York State Department of Environmental Conservation just released proposed regulations to require all power plants in New York to meet new emissions limits for carbon dioxide (CO2), a potent greenhouse gas that contributes to climate change. The regulations, a first in the nation approach to regulating carbon emissions, will achieve the Governor’s goal to end the use of coal in New York State power plants by 2020.
Environmental groups including Sierra Club have long advocated offshore wind, especially as Long Island faces a crucial transition juncture of expanding or upgrading fossil-fuel based power plants to meet its energy needs, versus investing and transitioning to renewable energy.
The state is targeting acquiring 2,400 megawatts of energy from offshore wind – the equivalent of what is generated by the Indian Point Nuclear Power Plant – enough to power 1.2 million households. The associated industries that would develop to manufacture the wind turbines and platforms, construct ports and stage the equipment, install the turbines, operate and maintain the systems are expected to employ some 5,000 people in relatively high-paying jobs, and generate $6 billion for the region. What is more, over time, windpower will bring down the cost of electricity on Long Island, where high costs of energy are considered impediments to economic growth.
At the same time, the state has invested in new research programs at State Universities, including Stony Brook to address key issues such as storage batteries (for when the wind does not blow), and transmission.
The master plan, being unveiled in public hearings, has been developed over a period of years by New York State Energy Research and Development Authority (NYSERDA).
The strategy is to be the furthest along in order to be first in line to contract for the electricity, which could be sold to New Jersey and other regions, to reduce cost and risk to private entities which will bid for the rights to construct and operate the wind turbines. The state is not actually seeking to be the winning bidder for the leases, but to be the customer for the power for those that do. And the state is also aware that other customers – New Jersey, as one example (though the former governor Chris Christie showed little interest, the new governor Phil Murphy is) – will also be bidding. But there is great confidence because of proximity and the sheer market size, that New York City and Long Island residents will be the beneficiary. And there is so much energy potential from this area, there is “enough for all.” Indeed, NYSERDA is eyeing 3,200 MW of production from the sites it has targeted, of which it would contract for 2,400.
NYSERDA has conducted studies in 20 areas –literally every environmental, biologic, economic and engineering aspect – in order to define every aspect of locating the best places to position turbines and cables, where to stage construction, where to manufacture the turbines and components, even where to invest in workforce development. All along the way, the agency has engaged stakeholders – from municipalities and environmentalists to labor unions to consumer advocates, to commercial fishing interests.
The state has allocated $15 million to spend on workforce development and infrastructure advancement (for example, building port facilities), and is allocating up to $5 million for multi-year research studies that will assist project developers with the data will be made available by NYSERDA in real time to public. For example, data on wind speeds particularly impact economics of projects and will improve the certainty of bids to state.
“We are seeking to invest $20 million or more, kicking off in 2018, for research and development – component design, systems design, operational controls, monitoring systems, manufacturing processes,” said Doreen Harris, Director, Large Scale Renewables, NYSERDA.
To attract private investment in port infrastructure and manufacturing, the state is hoping to spotlight promising infrastructure investments (60 sites have been identified), helping jumpstart project development and “secure its status as the undisputed home for the emerging offshore wind industry in the US.”
Think of it: Long Island used to be the center for America’s aerospace industry. Now it can be a leader in a global offshore windpower industry. What is more, off shore windpower can also bring down Long Island’s historically high utility rates which are considered an impediment to business development and economic growth.
“We’ve established technical working groups to determine best use of funds – to insure new Yorkers well prepared to serve offshore wind industry and connected to the global Industry.” Indeed, offshore wind is brand new for the US, but has been in force in Europe for 25 years.
The United States projects will have the benefit of leap-frogging over earlier technology, with more efficient, productive, and less environmentally risky structures.
The state is estimating that the near-term incremental program cost would be less than 30 cents a month for a typical homeowner – the cost of windpower is front-loaded in the initial construction, as opposed to fossil-fuel generated energy which continues to get more expensive over time because it is a finite resource that is increasingly more difficult and costly to obtain and needs to be transported from further distances to users. Electricity generated from wind is already competitive with fossil-fuel generated power, but over time, as usage thresholds and technology improvements are reached, the costs will go down. And this does not even factor in the environmental and public health benefits of transitioning from carbon-based fuel.
The only kicker is that while New York State is being pro-active, it is BOEM that ultimately controls the leases and is undertaking similar studies, so people are concerned this can be unnecessarily time-consuming and duplicative. And while BOEM under the Obama Administration was full-speed ahead and keen to develop offshore windpower, concern was raised after Interior Secretary Ryan Zinke declared the entire continental shelf open for drilling, and this prime windpower area used instead for drilling rigs or equally horrible Liquified Natural Gas (LNG) terminals such as the Port Ambrose that had been beaten back by Governor Cuomo.
But BOEM’s Energy Program Specialist Luke Feinberg, who attended NYSERDA’s May 8 public hearing in Melville expressed enthusiasm for offshore wind in this area (not to mention the area does not seem to have much potential for oil). BOEM presented a timetable that projects out two to five years before actual construction can begin; BOEM intends to hold its next lease auction no later than 2019.
BOEM is taking comments on the proposed “New York Bight” Call Area by May 29. Submit comments and view documents at boem.gov/New-York/
The New York Public Service Commission is now considering a number of options for the state to advance solicitations once the leases are awarded; send comments or view materials at http://documents.dps.ny.gov.
On January 25, activists who have been fighting for decades for clean, renewable energy in order to end our society’s dangerous addiction to fossil fuels, are hoping they will finally be able to pop the champagne corks when the Long Island Power Authority Board approves a power purchase agreement for off-shore wind power for the East End.
Indeed, just a week after the Block Island Wind Farm began producing power, New York labor unions, civic and environmental organizations and elected officials hosted a rally outside of Long Island Power Authority (LIPA) praising LIPA for expressing support of offshore wind power and its anticipated vote on Jan. 25 to move forward on the nation’s largest offshore wind project. Over 100 gathered in front of LIPA, in the largest show of Long Island’s support for offshore wind to date.
Located off the east end of Long Island, Deepwater Wind’s 90-megawatt, 15-turbine project will produce enough energy to power about 50,000 Long Island homes by 2022. This pivotal decision, opening a new era for Long Island’s energy economy, would eliminate the need for LIPA to build a new fossil fuel-fired plant to meet the region’s energy needs. Keep in mind that Long Island officials keep saying the impediment to businesses coming here are the high energy costs.
Now the activists are calling on LIPA to move forward on the Island-Wide renewable energy Request for Proposal in early 2017 which could include another 210 MW of offshore wind off of Long Island’s south fork. (Europe already generates 12,100 megawatts of off-shore wind energy).
Meanwhile, in the waning days of the Obama Administration (and not a moment too soon), the US Bureau of Ocean Energy Management (BOEM), awarded Statoil Wind US LLC, a private company from Norway that specializes in oil and gas, the lease to develop an off-shore wind farm on 80,000 acres some 12 miles off of Long Island’s south shore. Statoil’s $42.5 million bid beat out NYSERDA, the New York State energy research development agency, which had wanted to win so it could be the lead agency and expedite development of off-shore windpower for New York.
The project could provide 800 megawatts of offshore wind power in an area 17 miles south of the Rockaway Peninsula.
Now that it will be the domain of a private company, New York customers- like LIPA and Con Ed – will likely have to compete with New Jersey and others. LIPA needs to lock in supply, with a Power Purchase Agreement and details on where the company can run its cables on to shore, and do so before the Trumpsters try to overturn the lease altogether. Recall this is the same area where a private company wanted to site the Port Ambrose Liquified Natural Gas facility, which would have shut down the possibility of any wind farm.
The incoming Trump Administration’s determination to reverse course on a transition to clean, renewable energy, and return us to dependency on fossil fuels – no matter the impact on climate, the environment and ecology, no matter how it basically indentures residents and businesses to ever higher prices for energy, no matter how it endangers national security – means it will be up to the states to continue progress.
Governor Andrew Cuomo has set a goal of producing 50% of New York’s electricity from renewable sources by 2030 and 80% by 2050, with an ultimate goal of 100%. Developing offshore wind power – and a wholly new industry for Long Island – is essential for achieving those targets, along with solar, geothermal and hydro power sources (East Hampton has passed legislation that it would get 100 percent of its electricity from clean, renewable sources.)
Governor Cuomo made major news during his State of the State message at SUNY Farmingdale on Long Island, announced that New York is committed to building 2,400 megawatts (MW) of offshore wind power by 2030 – enough to power 1.25 million homes. The Governor also pledged his support for New York’s first, and the nation’s largest, offshore wind project off the east end of Long Island.
“We have to start to do some big things, we have to do big things in renewable energy to get that cost to power down on Long Island,” he stated. “And we have wind power, we’ve had wind power for years. Offshore wind farms work. They can be done right, they can be done correctly, they don’t have to be an eyesore.
“I’m calling on LIPA to approve a 90 megawatt wind farm. It’s enough to support 50,000 homes. They will not be visible from the beach. They will be 30 miles southeast of Montauk. Not even Superman standing on Montauk Point could see these wind farms. But the upside is tremendous. It will be the largest offshore wind project in our nation’s history, not just in existence. It’s jobs. It’s clean energy and it’s inexpensive energy which then drives the economy. And we are not going to stop there. We have a mandate of 50 percent renewable power by the year 2030. We want to get 2.4 gigawatts of offshore wind power by 2030 and we are not going to stop until we reach 100 percent renewable because that’s what a sustainable New York is really all about.”
Offshore wind power is especially important in light of Cuomo’s pronouncement in his State of the State address that the Indian Point nuclear plant, which theoretically generates 2000 megawatts of energy, will be shut down by 2021.
The Atlantic waters off Long Island has some of the best conditions for off-shore windpower production in North America, if not the world. Dubbed the “Saudi Arabia of offshore wind” we could be the epicenter for a new American energy industry, already $20 billion globally. Scientists and engineers at SUNY Stony Brook are developing new battery storage systems and monitoring controls. Wind turbines need to be manufactured, installed, monitored and maintained, producing thousands of everlasting jobs along with the wind power.
And unlike fossil fuels, where the prices are unpredictable except they almost always go up (oil and gas, after all, are finite resources, costly to develop, process and deliver), wind power is a predictable, stable price that is on a trajectory to come down, not up.
“It’s been a marathon of work and effort to bring wind power to Long Island, but we are at the last mile and moving closer to the finish line,” Adrienne Esposito, Executive Director of Citizens Campaign for the Environment said at the Dec. 20 rally. “Long Islanders are ready for offshore wind. We have assessed the science, the economics and the societal benefits and we concluded that wind works as an important mainstream energy source. We can longer be fossil fools and deny the consequences of climate change.”
“With Donald Trump about to occupy the White House, it’s essential that states like New York take the lead in transitioning from dirty fossil fuels to renewable energy,” Eric Weltman, Senior Organizer, Food & Water Watch stated. “Climate change could be catastrophic to New York, but with the fossil fuel industry poised to set federal energy policy, we need Governor Cuomo to lead a clean energy revolution. Having banned fracking, a next crucial step is for New York to move forward with the nation’s largest offshore wind farm.”
Come out to the LIPA board meeting on January 25 to show your support.
If they build it, we will come.
To learn more about Reforming the Energy Vision, including the Governor’s $5 billion investment in clean energy technology and innovation, visit www.ny.gov/REV4NY and follow @Rev4NY.