Page 18: of Maritime Reporter Magazine (April 2022)

U.S. OFFSHORE WIND © Ian Dyball/AdobeStock

WHAT TO EXPECT FROM THE U.S.

OFFSHORE WIND MARKET THIS YEAR

After many false starts, the U.S. offshore wind market is building strong roots for a solid future. But as the market develops from its current northeast and mid-Atlantic niche new opportunities and challenges arise.

By Philip Lewis, Intelatus Global Partners he U.S. offshore wind market has long been seen $167B Spend to Deliver 51+ GW as not delivering on its signi? cant potential. With

There is a range of views on how much offshore wind will an offshore wind technical potential of more than be deployed in the coming decades, from as low as 23 GW by

T double that of the country’s total annual electricity 2050 to 110 GW by 2050. sales, the U.S. has long been seen as having the potential to be

The bullish view – The White House is targeting the de- a major player in the global offshore wind market. However, ployment of 30 GW of offshore wind by 2030. Further, the until recently, the promise was not translating into reality.

administration plans to “unlock a pathway” to reach around

But the last 12 months have changed this view, and there is 110 GW of capacity by 2050 or around 9% of total U.S. elec- reason to be much more optimistic.

tricity generation in 2050.

Two major OCS projects with around 940 MW of capacity

A year ago, there were doubts raised on this target. But have reached FID and have commenced onshore construction, much has changed in a year to create the conditions to ad- more than 15 GW of projects are undergoing federal permit- vance offshore wind in the U.S.: ting review, 17.5 GW of project capacity has secured offtake • Two major projects with around 940 MW of capacity have commitments from states, auctions containing 12-to-16 GW of reached FID and have commenced onshore construction. potential will be concluded before the end of this year, longer •

To date, federal leases with a potential to support an esti- term leasing plans for the Gulf of Mexico, the Central Atlantic, mated 40 GW of offshore wind have been awarded. Federal

Oregon and the Gulf of Maine are being developed for auctions agencies plan additional leases supporting at least 6 GW to be before the end of 2024, turbine component, foundation, and awarded this year and further lease sales encompassing multi- cable factories and Jones Act wind farm vessels are being built gigawatt potential are planned in the Gulf of Mexico, the in the U.S. and offshore wind port development is accelerating.

Central Atlantic, the Paci? c and the Gulf of Maine by 2024.

In this article we discuss some of the key themes, oppor- • 10 large developments with a potential for more than tunities and challenges for U.S. wind going forward. These 15 GW are undergoing federal permitting review. Further, themes are addressed in detail in our monthly U.S. offshore the government has committed to completing the permitting wind report and online project database.

review of at least six more projects by 2025, amounting to at least 4 GW of capacity.

18 Maritime Reporter & Engineering News • April 2022

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