Home Money & Business Business US announces selected bids in inaugural commercial sale for floating offshore wind projects in the Atlantic.

US announces selected bids in inaugural commercial sale for floating offshore wind projects in the Atlantic.

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US announces selected bids in inaugural commercial sale for floating offshore wind projects in the Atlantic.

The U.S. government announced on Tuesday the successful bids for the first commercial sale of floating offshore wind leases along the Atlantic coast, specifically off the New England shoreline. This significant event, overseen by the Bureau of Ocean Energy Management, resulted in nearly $22 million in winning bids allocated across four lease areas to two companies. This sale aligns with President Biden’s ambitious objective to substantially increase offshore wind energy production by the year 2030.

While environmental advocates celebrated this milestone, commercial fishermen have raised concerns and expressed their opposition to the offshore wind expansion. The selected lease areas are situated in the Gulf of Maine, a vital fishing zone particularly for the lobster industry in the United States. U.S. Interior Secretary Deb Haaland emphasized the importance of the leases, calling it “a critical step in our fight against climate change.”

Haaland further noted the potential for this initiative to generate well-paying jobs, foster a domestic supply chain, and maintain the momentum of the offshore wind industry for future generations. Out of the four leases granted, Avangrid Renewables secured two areas located approximately 35 miles from Massachusetts, while Invenergy NE Offshore Wind obtained the other two leases around 25 miles from the state. Collectively, these landscapes cover more than 625 square miles (1,600 square kilometers) and are projected to provide power to over 2.3 million households, as indicated by the Department of the Interior.

Avangrid stated that these leased areas would assist in advancing floating wind technology. They highlighted that the development of offshore wind is increasingly turning towards deeper waters. Notably, Avangrid is a partner with Copenhagen Infrastructure Partners in the Vineyard Wind project, which involves constructing a wind farm featuring 62 turbines located roughly 15 miles off the Massachusetts coast.

In a statement, Avangrid CEO Pedro Azagra conveyed that acquiring these lease areas represents a unique chance to enhance their business while committing to satisfying the New England region’s rising demand for dependable, clean energy. Initially, the Bureau of Ocean Energy Management intended to conduct an offshore wind sale off the coast of Oregon this month; however, this plan was postponed due to limited interest from bidders and opposition from the state governor.

The Maine Lobstermen’s Association, a prominent trade group for commercial fishing interests, criticized the recent lease sale, labeling it as “another dangerous step toward the industrialization of one of the world’s most productive marine ecosystems.” They asserted that no section of the Gulf of Maine should be designated for offshore wind development. Conversely, environmental organizations, such as the Conservation Law Foundation, argue that the expansion of wind energy in New England is essential in combating climate change.

Kate Sinding Daly, the senior vice president for law and policy at the Conservation Law Foundation, stated that the Gulf of Maine lease sale marks a crucial moment in transitioning towards clean energy and enabling the region to significantly diminish emissions harmful to the climate.