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NEW YORK: New York officials have said the state has awarded conditional contracts to three offshore wind projects as part of a massive renewable energy procurement that will provide 12% of the state’s power needs in 2030.
The announcement, which the state billed as the nation’s largest ever investment in offshore wind, comes less than two weeks after New York regulators rejected requests by three offshore wind developers to renegotiate their contracts because of soaring costs.
In response, governor Kathy Hochul pledged to support renewable energy projects to meet the state’s climate change goals.
The new awards, to projects under development by France’s TotalEnergies, Germany’s RWE, Britain’s National Grid, and Denmark’s Copenhagen Infrastructure Partners (CIP), are still under negotiation, the state said.
The more than four gigawatts (GW) of offshore wind power the projects will be capable of generating is the largest share of 6.4 GW of renewable energy procurement the state unveiled.
Collectively, the offshore and onshore wind, solar, and hydroelectric projects will be able to power 2.6 million New York homes, the state said.
“Today, we are taking action to keep New York’s climate goals within reach, demonstrating to the nation how to recalibrate in the wake of global economic challenges while driving us toward a greener and more prosperous future for generations to come,” Hochul said in a statement.
The Biden administration, which has made offshore wind development a cornerstone of its plan to decarbonise the nation’s power grid, applauded the move.
John Podesta, a White House senior adviser on clean energy, said, “New York is showing that clean energy – including offshore wind – has a bright future here in America.”
The projects include Attentive Energy One, a facility being developed by TotalEnergies, Rise Light and Power and Corio Generation; Community Offshore Wind, a joint venture between RWE and National Grid; and Excelsior Wind, which is under development by CIP’s Vineyard Offshore.
All three projects are expected to start generating power in 2030 and will add about US$2.93 per month to customer bills over their lifetime. New York is also committing US$300mil to the development of offshore wind component manufacturing facilities planned by GE Vernova.
New York Offshore Wind Alliance director Fred Zalcman said the announcement “will go a long way towards instilling confidence in a market that has recently faced tremendous headwinds”. — Reuters
