New York State awards contracts for offshore wind projects

The New York State Energy Research and Development Authority (NYSERDA) finalized contracts with Equinor Wind and Sunrise Wind to develop two large offshore wind energy projects in the state.

The deal with Equinor is for the 816-megawatt Empire Wind Project. The Sunrise Wind project – which is a joint venture between Orsted and Eversource Energy – is for an 880-megawatt Sunrise Wind Project. State officials say this is the largest procurement for offshore wind in U.S. history. The state has a goal of developing 9,000 megawatts of offshore wind by 2035 and position.

“New Yorkers know all too well the devastating impacts of climate change and the catastrophic consequences if we do not act urgently,” New York Gov. Andrew Governor Cuomo said. “By finalizing the contract awards for the nation’s largest offshore wind procurement, we are realizing the positive impacts these projects will have on the environment while diversifying our economy and bringing significant economic benefits to the Empire State.”

This was the state’s first large scale offshore wind solicitation with four developers submitting a total of 18 proposals. The Empire Wind and Sunrise Wind projects have an average development cost of $83.36 per megawatt hour with an expected average OREC cost of $25.14 per megawatt hour. The average bill impact will be approximately $0.73 per residential customer. The awarded parties demonstrated a strong commitment to addressing the interests of ocean users, such as commercial and recreational fishing and environmental stakeholders. They also said they will ensure that coastal communities will be fully engaged and informed during the development and construction process.

“By every measure, New York’s first offshore wind procurement was a resounding success and the execution of contracts today signifies a major milestone in our nation-leading pursuit to deliver clean, locally-produced power to millions of New York homes and businesses,” Alicia Barton, president and CEO at NYSERDA, said. These projects, which represent the largest-ever renewable energy procurement made by a state in U.S. history, will deliver tremendous economic benefits and provide jobs to thousands of New Yorkers.”