The U.S. Department of Energy (DOE) announced June 23, 2022 it will lead in the development of a comprehensive offshore wind supply chain roadmap as part of its participation in the new White House-led Federal-State Offshore Wind Implementation Partnership. The first of its kind forum between 11 East Coast Governors (including Pennsylvania, New York, New Jersey, Maryland, and Delaware) and Administration officials will enable collaboration to build a strong, U.S.-based supply chain for offshore wind. The partnership is designed to accelerate President Biden’s goal of 30GW of offshore wind capacity by 2030 and 100% clean electricity by 2035.
“Working together – states and the federal government – we can blow the lid off our growing domestic offshore wind industry and get us to our clean energy future faster,” said U.S. Secretary of Energy Jennifer M. Granholm. “The new Federal-State Offshore Wind Implementation Partnership will help build a strong domestic supply chain for offshore wind, and a foundation for delivering an abundance of clean energy along with more good-paying jobs.”
State and federal collaboration will help achieve the U.S. goal of 30 GW of offshore wind capacity by 2030. Achieving this goal will result in an expected $12 billion in annual investment in offshore wind projects, which in turn can lead to the construction of up to 10 manufacturing plants for offshore wind turbine components and new ships to install the turbines. The nation’s offshore wind goal will also support nearly 80,000 jobs in the industry and surrounding local communities, power more than 10 million homes, and cut 78 million metric tons of carbon dioxide emissions, according to the DOE.
The Federal-State Offshore Wind Implementation Partnership highlights ongoing DOE efforts and commitment work alongside states and industry to provide a roadmap that identifies key pathways for meeting state and federal offshore wind goals. The federal and state partners will work together to further grow U.S. offshore wind energy, anticipate needs, and solidify and expand key offshore wind supply chain elements, such as domestic manufacturing, logistics, transmission, and workforce development. The partners will engage with underserved communities, ocean users, Tribes, local governments, and other stakeholders to ensure that supply chain development provides equitable benefits and minimizes any potential adverse impacts. Already, DOE and the Department of Commerce are partnering to research the impacts of offshore wind and other types of ocean-based energy on coastal communities and the fishing industry, and learn how to align deployment with community values.
With support from the National Offshore Wind R&D Consortium, and funding from DOE, New York, and Maryland, the National Renewable Energy Laboratory is developing a roadmap for offshore wind supply chain needs. The first part of the road map, released in March, details the top-level demand for deployment, components, ports, vessels, and workforce required to achieve the U.S. goal of 30GW of offshore wind capacity by 2030. The report forecasts the need for an offshore wind workforce averaging between 12,300 and 49,000 full time workers annually.
The second part of the road map, to be released by the end of 2022, will detail scenarios that would achieve U.S. manufacturing of major components by 2030, including manufacturing facilities, workforce requirements, and manufacturing capabilities; evaluate the potential benefits of such a supply chain; identify realistic pathways to achieve this supply chain; and determine the readiness of existing industries to support supply chain development.
The Infrastructure Law includes $2.5 billion to DOE to expand and update the nation’s electric transmission network, including potential connections to offshore wind. The transformative law also invests $8 billion for hydrogen hubs, which could use offshore wind energy to produce hydrogen or hydrogen-derived fuels. Developers of infrastructure for the offshore wind energy industry are encouraged to apply for funding through DOE’s Loan Programs Office.
Desire more specific assistance regarding energy projects, energy law, or real estate law, contact attorney Jeffrey A. Franklin at Prince Law Offices, P.C.