Biden administration to hold wind energy auction for two offshore sites near Carolinas this May

Published on March 29, 2022 by Chris Galford

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After finalizing a Bureau of Ocean Energy Management (BOEM) environmental review last week, the Biden administration announced a wind energy auction will proceed this May for two lease areas totaling more than 110,000 acres offshore the Carolinas.

When built up, the sites could allow for at least 1.3 GW of offshore wind energy, by the federal government’s estimations – enough to power nearly 500,000 homes. The Carolina Long Bay offshore wind energy auction will allow developers to bid on either or both of the lease areas within the Wilmington East Wind Energy Area under certain lease stipulations.

“The Biden-Harris administration is committed to supporting a robust clean energy economy, and the upcoming Carolina Long Bay offshore wind energy auction provides yet another excellent opportunity to strengthen the clean energy industry while creating good-paying union jobs,” Interior Secretary Deb Haaland said. “This is an historic time for domestic offshore wind energy development. We will continue using every tool in our toolbox to tackle the climate crisis, reduce our emissions to reach the President’s bold goals, and advance environmental justice.”

Under the leasing plan, BOEM would offer a 20 percent credit to bidders if they agree to invest in programs that advance U.S. offshore wind energy workforce training or supply chain development. Other stipulations for the plan include efforts to promote the domestic U.S. supply chain, improve flexibility in transmission planning and lock in project labor agreements.

To advance BOEM’s communication and environmental justice goals, the leases will also require lessees to identify Tribal Nations, underserved communities, agencies, ocean users, and other interested stakeholders and report on their communication and engagement activities with these parties to guarantee the protection of the environment and other ocean uses during and after development.

“Under the leadership of Interior Secretary Deb Haaland and BOEM Director Amanda Lefton, moving ahead with the final sale notice for the Carolina Long Bay offshore wind energy area is an example of building a clean and sustainable energy future that will help foster economic development in the region’s coastal communities while reducing harmful pollution,” Josh Kaplowitz, American Clean Power Association vice president for Offshore Wind, said in a statement. “The lease sale is another key step toward reaching the Biden administration’s goal of deploying 30 gigawatts of U.S. offshore wind energy by 2030. Rapidly scaling affordable, reliable domestic clean energy in the U.S. is also vital for our nation’s economic and national security. Indeed, offshore wind growth is a key element of the administration’s and European Commission’s newly announced task force to strengthen energy security and reduce our collective dependence on Russian oil and gas and vulnerability to spikes in commodity prices.”

The ACP also urged Congress to build on these efforts by repealing a 10-year moratorium on offshore wind leasing off the coasts of the Carolinas, Georgia, and Florida, which is currently set to begin on July 1. The organization argued this would hinder offshore wind throughout the Southeast United States and beyond.