July 2, 2021 By Ramona du Houx In an announcement on 30 June, The New Jersey Board of Public Utilities(NJBPU) said that, in a unanimous vote, the Board awarded 1,510 MW of capacity to Atlantic Shores Offshore Wind and 1,148MW to Ocean Wind II – making this the nation’s largest combined award to date. The new facilities will bring the state’s total planned capacity […]
In an announcement on 30 June, The New Jersey Board of Public Utilities(NJBPU) said that, in a unanimous vote, the Board awarded 1,510 MW of capacity to Atlantic Shores Offshore Wind and 1,148MW to Ocean Wind II – making this the nation’s largest combined award to date.
The new facilities will bring the state’s total planned capacity to over 3,700 MW, which moves New Jersey closer to Governor Phil Murphy’s goal of 7,500 MW of offshore wind by 2035 and 100 percent clean energy by 2050.
“Expanding New Jersey’s offshore wind industry is a major component of achieving our goal of 100 percent clean energy by 2050, while providing significant opportunities and economic benefits for our state,” said Governor Phil Murphy. “By leveraging a whole-of-government approach and the strengths of our state, this award ensures that our investment in clean energy is also an investment in our communities, and will generate good-paying, union jobs and bring valuable investments to New Jersey.”
In addition to strong environmental and fisheries protection plans, each project has committed to invest in New Jersey’s offshore wind industry by building new manufacturing facilities at the New Jersey Wind Port, utilizing the foundation manufacturing facility at the Port of Paulsboro. Thereby creating tens of thousands of jobs, and injecting billions of dollars in economic benefits into the state. Additional benefits to the region include a green hydrogen pilot facility from Atlantic Shores and a truck electrification pilot project at Port Newark from Ocean Wind, the NJBPU said.
“The responsible development of offshore wind will help New Jersey reduce the worsening effects of climate change while creating family-sustaining green jobs capable of lifting all people and communities across the Garden State,” said Department of Environmental Protection Commissioner Shawn M. LaTourette.
Combined, the two projects are estimated to create 7,000 full and or part time jobs across the development, construction and operational phases of the projects. This yields approximately 56,000 Full Time Equivalent job years, as some jobs will be shorter term and others will last for many years.
They will also generate $3.5 billion in economic benefits and power 1.15 million homes with clean energy.
“We have a once-in-a-generation opportunity to establish New Jersey as the epicenter of a new industry that will provide tens of thousands of jobs and billions of dollars in economic benefits when we need it most,” said Joseph L. Fiordaliso, NJBPU President.
As required by the solicitation, the project developers will also contribute $10,000 per MW to fund research initiatives and wildlife and fishery monitoring in the region – totaling $26 million that will be administered by NJBPU and the New Jersey Department of Environmental Protection.
Each project includes a commitment to build a nacelle assembly facility at the New Jersey Wind Port. The nacelle houses the components that convert the mechanical energy of the rotating blades into electrical energy, and is the highest value add offshore wind component. Atlantic Shores plans to partner with MHI Vestas for this facility, while Ocean Wind will collaborate with GE. Both projects will utilize the foundation manufacturing facility at the Port of Paulsboro. Additional benefits to the region include a green hydrogen pilot facility from Atlantic Shores and a truck electrification pilot project at Port Newark from Ocean Wind.
Developing New Jersey’s offshore wind resources is a core strategy of Governor Murphy’s Energy Master Plan, which identifies the most ambitious and cost-effective ways of reaching 100 percent clean energy by 2050. Since taking office in 2018, the Murphy administration has led a concerted effort across state government to bolster this transition while focusing on jobs and economic growth. This includes developing the NJ Wind Port in Salem County, establishing a WIND Institute to coordinate workforce development and research and development in offshore wind, and a $250 million investment in the Port of Paulsboro for turbine component manufacturing.
In 2019, New Jersey made history by awarding the largest single offshore wind solicitation in the country to Ørsted’s 1,100 MW Ocean Wind project to be built 15 miles off the coast of Atlantic City.