In the first U.S. auction of deepwater Atlantic Ocean sites for commercial floating offshore wind power in federal waters, the U.S. Department of the Interior said four Gulf of Maine lease areas were sold for nearly $22 million to two bidders: Avangrid Renewables, which won areas totaling 223,462 acres about 30 nautical miles from Massachusetts; and Invenergy NE Offshore Wind, which won areas totaling 215,634 acres that extend up to 46 nautical miles from Maine.
The four areas, with a total of 6.8 GW of projected energy capacity, also generated $5.4 million in total bid credits to developers based on “binding commitments” to invest this amount in force training of work, development of the supply chain and mitigation of the fishing sector.
Dan Burgess, director of Maine Gov. Janet Mills’ (D) energy office, said the sales represented a “major milestone” for the state and the region as it develops wind navy to reduce dependence on expensive fossil fuels. “We look forward to following the next phases of these lease sales and leveraging our progress to further this industry,” he said. Although Mills banned offshore wind development in state waters to accommodate Maine’s marine fisheries, it is seeking projects in federal areas to meet the goal of installing 3 GW of offshore wind by 2040.
But Jerry Leeman, CEO of the New England Fishermen’s Stewardship Association, said the lease sale was “a rushed regulatory process.”
The auction, the latest of the Biden administration, did not attract as much developer action as expected, with more than 14 bidders having qualified to bid and four other lease sites set to generate 6.4 GW that did not touch each other. Participants and observers cite the project’s still-challenging finances and heightened negative pre-election rhetoric from Republican Donald Trump, his political allies and other opponents.
Interior has held six offshore wind lease sales in the current administration and has several more scheduled through 2028. Maine Natural Resources Council climate and clean energy director Jack Shapiro said the auction of Maine was successful, compared to others in the Gulf of Mexico and offshore Oregon that were canceled earlier this year due to a lack of bidders.
“The offshore market has almost 30 GW of conditional orders worldwide, 21 GW of which are for projects in Europe and the US, but the challenging economy continues to delay conversion to firm orders,” said the global firm d ‘renewable energy research Wood Mackenzie.
Avangrid said the new lease areas allow it to “help advance floating wind technology,” with about two-thirds of the U.S.’s potential offshore wind power in water deeper than 60 feet, the limit for the bases fixed seabed turbines. Orange, Conn. developer claims 5GW offshore wind pipeline in Northeast region beyond Gulf of Maine projects. These include the 800MW Vineyard Wind 1 project, which Avangrid owns 50% of, but now faces an unclear completion delay due to a pallet collapse in July.
“Our participation demonstrates Invenergy’s strong commitment to advancing the US offshore wind industry,” Daniel Runyan, the firm’s senior vice president of offshore wind development, said in a statement. It was also selected to develop a 2.4GW project in New Jersey, but recently requested a delay due to a problem with the turbine supplier.
“Despite the general uncertainty surrounding the upcoming presidential election, this is a vote of confidence for an American industry that has already received nearly $3 billion in new supply chain investments in the first nine months of 2024 ” said Liz Burdock, director general of the US Attorney’s Office. group Oceantic Network, in a statement, the first floating wind auction in the United States, off the coast of California in 2022, won bids of 757 million dollars in five. parcels
The design and construction of the Maine Floating Wind Project will await further results from the August award to the state of the first federal research lease in the Gulf of Maine for a 15,000 site, sources said. acres that would generate 144 MW of power. It is planned to enable “significant technological, operational and scientific research,” the Maine Offshore Wind Initiative said.
“We are looking forward to collaborating with the winners of the [commercial] The Gulf of Maine leases as its technology selection process begins in the future,” said Habib Dagher, executive director of the Center for Advanced Structures and Composites at the University of Maine, which has been developing the pilot project d ‘VolturnusUS+ floating offshore wind turbine that will be part of the Gulf research.
The project is progressing on schedule, he says, with its proprietary concrete semi-submersible floating turbine hull “expected to be operational and connected to the grid in early 2025.” Dagher says the technology “uses a damping system to reduce movements, which allows weight and size to be reduced by up to 30%.” Funding for construction comes from a research grant from the US Department of Energy.
The university also aims to build a $456 million offshore wind port on Maine’s Sears Island, with completion expected in 2029, but was unable to secure a grant from the US Department of Transportation to cover the cost. “It’s certainly a setback, but the state has additional plans for alternative port funding,” Dagher says, adding that the commercial leases “give a boost to Maine’s next funding request.”
In another expected industry boost, Interior and the US Department of Defense agreed Oct. 29 at the American Clean Power Association’s offshore wind conference in Atlantic City, NJ, to “further institutionalize collaboration” to ensure that construction and operation of the sector can cooperate. they exist with military activity in all US ocean areas.
The DOD’s concern about perceived interference had long delayed the development of floating wind on the West Coast. Action by the Biden Administration was needed to resolve the impasse to enable California’s lease auction. “We view the transition to clean energy, particularly offshore wind, as vital to national security,” said Brendan Owens, Assistant Secretary of Defense for Energy, Facilities and Environment.
Despite the policy, conference organizers said nearly 65 GW of offshore wind capacity is under development in the US, with strong union support. “It all depends on next Tuesday,” Sean McGarvey, president of the construction unions of North America, told attendees.
But even with a Trump victory, “we could focus on the fundamentals that make a market stronger. The projects that are allowed will go forward and … we’ll work on infrastructure, ports, transmission,” said the attorney Burdock in the industry publication. recharge.
“Our goal continues no matter who is in the White House,” said Doreen Harris, CEO of the New York State Research and Development Authority. His agency is working to meet the state’s aggressive plan to install 9 GW of offshore wind power by 2035.
