New York State has conditionally awarded two offshore wind tasks from its fourth offshore wind solicitation – a 810-MW venture, Empire Wind 1 (developed by Equinor), and Dawn Wind, a 924-MW venture (developed by Ørsted and Eversource).
The tasks will create greater than 800 family-sustaining building jobs and make investments $2 billion in financial improvement statewide, together with developer-committed investments to assist deprived communities. The tasks would be the largest energy era tasks in New York State in over 35 years as soon as they enter operation in 2026, supporting the state’s Local weather Management and Neighborhood Safety Act (Local weather Act) objective to develop 9 GW of offshore wind vitality by 2035.
“I promised to make New York a spot for the renewable vitality business to do enterprise, and we’re delivering on that promise,” Hochul mentioned. “Offshore wind is foundational to our struggle towards local weather change, and these awards show our nationwide management to advance a zero-emissions electrical grid at the very best worth to New Yorkers.”
These two tasks, totaling greater than 1.7 GW of renewable vitality, will present sufficient energy for 1 million New York houses and ship roughly 10% of New York Metropolis and Lengthy Island’s electrical energy wants.
“As we speak’s announcement is the most recent step ahead as President Biden continues to ship historic progress on rising the American offshore wind business, creating good-paying union jobs, and advancing our formidable local weather and clear vitality targets,” mentioned Mary Frances Repko, White Home deputy nationwide local weather advisor. “With assist from the president’s Investing in America agenda, these tasks will profit native employees and communities and strengthen a home manufacturing base that stretches throughout the nation. The Biden-Harris Administration will proceed to companion with leaders like Gov. Hochul and different governors throughout the nation to construct on unprecedented offshore wind efforts – from allowing tasks and leasing wind vitality areas, to catalyzing a Made in America provide chain, to increasing port and transmission infrastructure.”
Empire Wind I and Dawn Wind, two underneath improvement offshore wind tasks, have already accomplished most federal and state allowing milestones. Each tasks are anticipated to ramp up building exercise this 12 months. As we speak’s awards are conditional on profitable contract execution. As well as, the Neighborhood Offshore Wind 2 venture has been waitlisted and could also be thought-about for award and contract negotiation at a later date.
The 2 tasks have spurred different financial exercise within the area. Development and operation of the South Brooklyn Marine Terminal meeting and staging port will start, creating greater than 400 building jobs. The port will occupy a at the moment inactive tract of 70 waterfront acres in a deprived group.
Greater than $80 million shall be invested into building and manufacturing of basis parts on the Port of Coeymans; investements totaling $135 million shall be made to electrical grid infrastructure on Lengthy Island and $200 million in transmission associated investments, backed by a Undertaking Labor Settlement with Lengthy Island expert tradespeople, together with heavy tools operators, electricians and line employees.
Aligned with Local weather Act targets, over $1 billion is anticipated to be invested in deprived communities, $117 million supporting minority, women-owned and veteran-owned companies, and over $43 million in workforce improvement investments.
“I’m extremely happy with the NYSERDA group’s demonstrated capacity to quickly reply to market challenges by expertly executing on this expedited solicitation in a fashion that ensured competitors, a strong analysis course of and yielded a price that’s aggressive in immediately’s market,” mentioned Doreen M. Harris, president and CEO of New York State Vitality Analysis and Growth Authority. “We’re excited to see Equinor and Orsted and Eversource step up now and get these tasks energized within the close to time period. As we speak’s announcement additional demonstrates Governor Hochul’s management in renewable vitality and New York State’s dedication to partnering with corporations who will ship clear offshore wind energy, create jobs for future generations and develop essential port infrastructure on the similar time.”
Empire Wind 1 and Dawn Wind had been beforehand awarded by NYSERDA in 2019 as a part of NYSERDA’s first offshore wind solicitation. As a part of these awards, the tasks shall be held to new contract provisions that convey further advantages to the State, together with $32 million dedicated to community-focused investments in New York’s deprived communities and $16.5 million in the direction of wildlife and fisheries monitoring; commitments to buying a minimal of $188 million of U.S. iron and metal, supporting U.S. manufacturing and the New York Purchase American Act.
The typical invoice impression for patrons over the life of those tasks underneath these awards shall be roughly 2%, or about $2.09 per thirty days. The weighted common all-in improvement price of the awarded offshore wind tasks over the lifetime of the contracts is $150.15 per MWh.
“Gov. Hochul and NYSERDA have as soon as once more proven their dedication to offshore wind and we’re grateful that Empire Wind has been chosen to assist cleared the path,” mentioned Molly Morris, Equinor Renewables Americas president. “That is a complicated venture that may quickly ship dependable renewable energy to a whole bunch of 1000’s of New Yorkers, with environmental and financial advantages that start on the native degree and can prolong throughout the state.”
Constructing on these awards and per New York’s 10-Level Motion Plan, NYSERDA expects to announce awards for Tier-1 land-based renewables tasks in April 2024. New York’s 10-Level Motion Plan serves to bolster the State’s dedication to scrub vitality improvement, sustainability, and financial development and helps the State’s progress in the direction of attaining the Local weather Act targets, together with acquiring 70% of the state’s electrical energy from renewable sources by 2030.
“With these provisional awards in New York’s fourth offshore wind solicitation, we will see all of the items of the state’s offshore wind financial system coming collectively, and we’re extremely happy with the function Dawn Wind will play on this new American clear vitality business,” mentioned David Harby, Ørsted Group EVP and CEO of Americas.
Information merchandise from NYSERDA
Filed Below: Information, Offshore wind, Tasks
