After years of delays and obstacles, the US offshore wind industry is finally gaining momentum. With the climate crisis looming, this progress is a welcome reminder that decarbonization solutions are within reach.
Increased Capacity for US Offshore Wind
CleanTechnica has been following the US wind industry’s journey from its early days, including the ill-fated Cape Wind project and the successful Block Island wind farm.
The Block Island project was notable as the first offshore wind farm in the US, despite being small compared to global progress.
Streamlined Leasing Process Paves the Way for Growth
The Trump administration, despite anti-wind rhetoric, inadvertently laid the groundwork for today’s accelerated offshore wind development by formalizing and streamlining the leasing process through the Bureau of Ocean Energy Management (BOEM).
Central Atlantic Lease Areas Open for Auction
BOEM is now preparing to auction three Central Atlantic offshore wind lease areas with a potential capacity of 6.3 gigawatts, located off the coasts of Delaware, Maryland, and Virginia.
The high number of participants vying for a share of the Central Atlantic areas signals a healthy US offshore wind industry. Seventeen companies have qualified for the upcoming lease auction, scheduled for August 14.
Overcoming Past Challenges and SOV Shortages
This marks a significant turnaround from last year’s unsuccessful Gulf of Mexico lease auction. The list of bidders for the Central Atlantic areas includes major offshore wind players, both domestic and international.
The US industry also faces challenges like supply chain issues, inflation, and a shortage of Service Operations Vessels (SOVs), crucial for offshore wind farm construction.
Jones Act and Potential Solutions for SOV Shortage
The Jones Act, a national security law, restricts foreign-flagged vessels from transporting goods between US ports, contributing to the SOV shortage.
However, workarounds exist, such as utilizing the expertise and Jones-compliant ships of the offshore oil and gas industry or employing barges towed by Jones-compliant ships.
Promising Developments in the SOV Market
Efforts are underway to address the SOV shortage. Ørsted and Edison Chouest Offshore recently christened the first American-built, owned, and crewed offshore wind SOV.
Reports suggest 25-30 new Jones-compliant SOVs are under construction in the US. The Congressional Research Service has also noted the possibility of modifying the Jones Act to accommodate the offshore wind industry.
Continued Growth of European Offshore Wind Industry
Meanwhile, Europe’s offshore wind industry continues to expand, with the Dogger Bank wind farm in the North Sea as a prime example. Dogger Bank already consists of parts A, B, and C, with part D, developed by SSE Renewables and Equinor, potentially adding up to 2 gigawatts of capacity.
Once completed, Dogger Bank Wind Farm is set to become the world’s largest offshore wind farm in operation. Part D recently received permission to connect to the proposed Birkhill Wood substation in Yorkshire, following an Environmental Impact Assessment.