WINDPOWER
OFFSHORE WIND
THE FUTURE OF OFFSHORE WIND IN THE U.S. NOW THAT THE UNITED STATES HAS TESTED THE WATERS with its first offshore wind farm—the five-turbine Block Island Wind off the coast of Rhode Island—predictions vary about the future growth of the industry. Bloomberg New Energy Finance has forecast that the U.S. will have a total installed offshore wind capacity of between 3 and 4 GW by 2030. A new report from renewable-energy consultants, BVG Associates, also predicts that the U.S. offshore market will develop rapidly from 2020 to 2030. It provides a more optimistic forecast where annual installed capacity surpasses 1 GW in 2026, and continues to increase annually with a cumulative 8.4 GW installed at the end of 2030.
By Michelle Froese, senior editor; Windpower Engineering & Development
turbines are operating near Block Island, several Mid-Atlantic and Northeastern states are passing legislation and making purchase commitments resulting in a regional project pipeline totaling more than 5.4 GW,” she says. “And that number is only going to increase.” The Network is actively engaged in a number of initiatives to expand the offshore market. For example, it was involved in passing the Maryland legislation in May 2017, which has set the course for two offshore projects totaling 368 MW. “When this legislation was first debated in 2013, the price point was estimated to be $230 MWh. Since then, that number has been nearly cut in half. The Maryland Public Service Commission’s approval of the U.S. Wind and Deepwater Wind projects set a $134 MWh price point, and that gives the industry a baseline price.” Burdock credits this decision with moving the U.S. industry forward and is why she expects it to grow considerably over the next couple of years. “Until now, the cost of offshore wind in the country has always been speculative. Really, the most significant development in the U.S. offshore wind industry is that a price point has finally been set. So from here on out, we can expect project developments to move forward.”
investors have become more comfortable with and interested in the offshore wind industry’s movement into the global mainstream market. With close ties to the sector, Elizabeth Burdock, Executive Director for the Business Network for Offshore Wind (Network), also expects the industry to grow fairly quickly. The not-for-profit organization, which she helped develop, has a direct hand in supporting the offshore wind industry in the U.S. “Now that offshore
The U.S. offshore wind industry is in full swing. The States of Massachusetts, New York, and Rhode Island recently released three reports that set out the context for offshore wind development in the Northeast and reveal its potential economic development benefits. The reports are available for download at northeastwindcenter.org/offshore-wind/multi-state.
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12/19/17 6:24 PM