Biden administration proposes first-ever offshore wind lease sale on West Coast, opens public comment period

As part of the first realized effort to open offshore wind lease sales on America’s West Coast, the Biden administration announced last week that public comments are now welcome for sales in two regions in the Outer Continental Shelf near California. 

It was announced by the U.S. Department of Interior (DOI) and the Bureau of Ocean Energy Management (BOEM). Their proposed sale notice included three proposed lease areas off central California and another two off northern California, spanning approximately 373,268 acres. The government estimates filling up this area for energy development could unlock more than 4.5 GW of offshore wind energy for use.

At the same time, officials tacked on provisions to prioritize workforce training, domestic supply chain development, community benefits, and engagement for potential sales. The administration views it as a major step toward achieving one of its larger clean energy goals: 30 gigawatts (GW) of offshore wind energy by 2030.

“The demand and momentum around our work to build a clean energy future is undeniable. The Biden-Harris administration is moving forward at the pace and scale required to help achieve the President’s goals to make offshore wind energy a reality for the United States,” Secretary Deb Haaland said. “Today, we are taking another step toward unlocking the immense potential of offshore wind energy offshore our nation’s west coast to help combat the effects of climate change while creating good-paying jobs.”

The move was praised by the American Clean Power Association (ACP), which called it a huge step forward for clean energy deployment and job creation alike. The organization said it would help California meet its own goal of zero emissions by 2045. 

“This is a one-in-a-generation opportunity for California to become a global hub for floating offshore wind technology, creating thousands of good-paying American maritime and manufacturing jobs in California and beyond while boosting the domestic offshore wind supply chain,” Heather Zichal, ACP’s CEO, said. “Offshore wind will help mitigate the effects of climate change while increasing grid reliability and enhancing energy security. Tapping into the abundant wind resources on the West Coast is another key step toward reaching the U.S. goal of deploying 30 gigawatts of offshore wind by 2030 and will put the country on a path to achieve the goal of 100 percent carbon-free electricity by 2035.”

While the first-sale-of-its-kind proposed for the West Coast, BOEM has also held 10 competitive lease sales and issued 25 active commercial offshore wind leases on the East Coast. For this latest, the DOI has opened a 60-day public comment period. In particular, BOEM seeks feedback on stipulations for the lease, focused on equitability and community engagement. These include:

• A 2.5 percent bidding credit to bidders who have or will execute a community benefit agreement with a community or ocean users whose use of either the lease area or its resources will be directly impacted by the offshore wind energy development
• A 20 percent bidding credit to bidders who commit to invest in programs that will advance U.S. offshore wind energy workforce training, supply chain development or both
• A requirement that lessees undertake reasonable efforts at project labor agreements covering the construction of any proposed lease area project
• Requirements for lessees to engage with Tribes, underserved communities, ocean users, and agencies, complete with engagement reporting mandates

Bidders may also submit mandatory qualification materials to BOEM no later than Aug. 1, 2022.