Image: Siemens Gamesa
The United States has a chance to increase overseas wind power development, and also gain from 28 brand-new gigawatts of tidy power and also $1.7 billion in UNITED STATE Treasury earnings by 2022, according to a brand-new research study by research study team Wood Mackenzie.
The research study searchings for reveal that added lease locations are required to fulfill need, minimize power expenses, boost competitors, and also eventually produce countless tasks and also billions in financial investment.
Additionally, the searchings for use assistance to decision-makers regarding brand-new overseas wind leases, which can be a temporary remedy to leap beginning recuperation from a coronavirus pandemic-driven financial stagnation.
Commissioned by 4 power sector teams, American Wind Energy Association (AWEA), National Ocean Industries Association (NOIA), New York Offshore Wind Alliance (NYOWA), and also the Special Initiative on Offshore Wind (SIOW) at the University of Delaware, the research study discovers the financial effect of overseas wind tasks as an outcome of possible Bureau of Ocean Energy Management (BOEM) lease public auctions in 2020, 2021 and also 2022. Based on existing tasks and also plan presumptions for future overseas wind advancement, 2 million acres of government waters in the New York Bight, that includes components of New Jersey, along with California and also the Carolinas, can be auctioned for business leases as very early as this year along with in 2021. Such leasing can sustain 28 GW of overseas wind advancement and also produce $1.2 billion in UNITED STATE Treasury earnings. Other public auctions for lease locations in the Gulf of Maine and also locations in California can occur in 2022 and also would certainly produce an added $500 million in UNITED STATE Treasury earnings.
Significant capital expense will certainly be taken into the UNITED STATE economic climate to sustain overseas wind tasks. Total financial investment in the UNITED STATE overseas wind sector will certainly be $17 billion by 2025, $108 billion by 2030 and also $166 billion by 2035. From 2022 to 2035, capital expense of $42 billion will certainly most likely to wind turbine suppliers and also the supply chain, $107 billion will certainly most likely to the building sector, and also $8 billion will certainly most likely to the transport sector and also ports. Annual capital expense for O&M tasks will certainly raise to $2.4 billion in 2035.
In enhancement to providing tidy power, the overseas wind sector will certainly additionally add a range of financial advantages to the UNITED STATE economic climate, consisting of sustaining 10s of countless tasks and also billions of bucks in capital expense. If the presumed BOEM public auctions in 2021 and also 2022 occur, overall full-time equal (FTE) task production from the resulting overseas wind tasks, consisting of advancement, building and also procedure will certainly be about 80,000 tasks yearly from 2025 to 2035.
“American offshore wind is a generational opportunity. Infrastructure spending, energy security, and shovel-ready jobs with good wages will be unleashed,” stated NOIAPresident Erik Milito “Importantly, offshore wind development will support jobs throughout the entire U.S. The same shipbuilders, heavy lift vessel operators, steel fabricators and countless other companies who built the Gulf of Mexico oil and gas sector stand ready to lend their expertise to the American offshore wind industry.”
“The Wood Mackenzie study provides a new impetus for the designation and leasing of new wind energy areas in federal waters off the U.S. coastline,” saig Joe Martens, Director,New York Offshore Wind Alliance “States along the eastern and western seashores have a massive domestic clean energy resource and many states have set ambitious offshore wind goals to reap the economic and environmental benefits that offshore wind offers but cannot achieve those goals with existing leases. This study documents the enormous near- and mid-term economic benefits that offshore wind energy can provide: more than $1 billion in revenue to the federal treasury, tens of thousands of jobs and billions in investments in ports, vessels and other infrastructure, at a time when the nation needs it the most. It’s time for the federal government to act with the same urgency as the states.”– Joe Martens, Director, New York Offshore Wind Alliance,
“Unleashing the potential of offshore wind power through immediate and consistent auctioning of new lease areas can help the United States rebound from the greatest economic downturn in our nation’s history,” stated Nancy Sopko, Executive Director, Special Initiative on Offshore Wind “The Wood Mackenzie study provides the right proof points at the right time: that the swift pivot to auctioning lease areas in the New York Bight, California, the Carolinas and the Gulf of Maine could result in the development of 28 GW of offshore wind energy, 80,000 much-needed American jobs per year by 2035, more than $1 billion to the U.S. Treasury, and $166 billion in total investment in the U.S. economy by 2035. SIOW urges decision-makers in the Department of the Interior and the Bureau of Ocean Energy Management to heed the findings of this new analysis and act quickly to unlock the multi-faceted potential of U.S. offshore wind development.”
