Page 18: of Maritime Reporter Magazine (February 2019)

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MARKETS: Offshore Wind Energy

Wind Energy Markets:

Plenty of Supply, Growing Demand

By Tom Ewing his is an honor: getting to start Maritime Reporter’s

THE US ENERgY INFOR- new column on renewable

MATION AdMINISTRA-

Tofshore energy. In the com- ing months, this column will home in on

TION (EIA) PROJECTS technological, market, and policy related

THAT ELECTRIC gEN- issues impacting ofshore renewable en- ergy. The goal: to provide insight on the

ERATION FROM RENEW- size, shape, direction and speed of devel-

ABLES (WINd, SOLAR, opments within this energy sector. And a big related goal: information helpful to

HYdRO) WIll GRoW companies who will construct energy fa-

FRoM 500 BIllIoN KWh cilities, sail and operate project vessels, and invest in ofshore energy ventures.

IN 2018 to 1500 BIllIoN

The focus is timely. In its 2019 “An-

KWh IN 2050. nual Energy Outlook” the US Energy

Information Administration (EIA) proj- ects that electric generation from renew- ables (wind, solar, hydro) will go from 500 billion KWh in 2018 to 1500 billion

KWh in 2050, just 30 years from now. “The AEO highlights the increasing role © iweta0077/AdobeStock of renewable energy in the U.S. genera- tion mix,” said EIA Administrator Linda ofshore.But the price trend is the lesson. EM’s website, of course, not a DC road got a strong push-back from state and

Capuano. “Solar and wind generation And that trend will never stop because it trip. As a resource, BOEM’s site is rich federal reviewers.) are driving much of the growth. In fact, is linked to the most valuable resource and dynamic and national in scope. It is For a test-drive, click on the New York our reference case projects that renew- there is: human intelligence, ingenuity, not a research site. It provides the who, Bight link to review the extensive lev- ables will grow to become a larger share imagination, the ultimate resource now why, what, where and when of real work els of information available. Couldn’t of U.S. electric generation than nuclear at its most rich and productive because and real projects drawing real money. make the November 28 NY Bight Task and coal in less than a decade.” every Thomas Edison in the world can Likely, you are familiar with BOEM’s Force meeting in Midtown Manhattan?

In this new iteration of renewable ener- be working on the same problem at the site. However, if you are newly research- BOEM’s site makes you an insider, mi- gy, politics is hardly the singular driver. same time. ing projects and project development, if nus the of-line networking. As might be

Rather, it’s economists crunching gen-

Of course, if you live in Boston or you’re wondering how to best engage in expected, documents and presentations eration cost numbers.

Baltimore or Norfolk inexpensive wind a specifc project, if you’re looking for are posted. But so is a meeting summa-

With gas, discoveries of vast, new re- power from Wyoming or Nebraska can’t names and contacts, at federal and state ry, including the sign-in list; a nice way coverable supplies slashed prices to the form the core of your region’s energy levels, place BOEM/Renewable-Energy to build up your contacts, and have the extent that gas could replace coal for portfolio. You need generation closer to at the top of your favorites. (Unfortu- right questions ready (or better yet, the base-load generation. With wind, tech- home – ocean-based wind. Today, lead- nately, BOEM’s website was not updat- right answers!) when you need to contact nology is driving down prices (after all, ership in coastal cities and states want ed during the federal government shut- the right person.

the fuel – wind – is free, can’t get much ofshore wind to become an increasingly down.) Many East Coast states have initiated cheaper). Consider: according to Berke- larger portion of their generation mix. Wind is not the only energy source un- of-shore wind plans, or at least plan- ley Labs, national wind power purchase How to do that – how to build an entirely der BOEM’s purview. Note that hydro- ning. In addition to New York’s eforts - agreements (PPA) in 2009 were as high new generation feet from the ground up, kinetic energy – energy from waves and • New Jersey has committed to as 7¢/kWh. In 2017, the average was so to speak – that is the inquiry behind currents – is an emerging technology, 3,500 MW of ofshore wind by 2030. around 2¢/kWh. True, that price in- this column. also overseen by BOEM. (Those proj- And NJ, of course, is part of the planning cludes federal tax credits and it’s based

A great place to start: the Bureau of ects are on the radar for future columns, for NY Bight developments.

on the cheapest generation areas – not Ocean Energy Management, i.e., BO- particularly one in Massachusetts that • In 2018, MA passed the “Act to 18 Maritime Reporter & Engineering News • FEBRUARY 2019