Quantcast

America's First Large Offshore Wind Farm to Offer $1.4B in Savings

Energy
Offshore wind turbines at Barrow Offshore Wind Farm in the Irish Sea. Andy Dingley

Renewable energy is truly getting cheaper every day. The 800-megawatt wind farm Vineyard Wind project, the first large-scale offshore wind farm in the U.S., has offered a total levelized price of $65 per megawatt-hour (MWh)—a record low.

The planned wind farm, located 15 mies south of Martha's Vineyard, will be jointly developed by Avangrid Inc. and Copenhagen Infrastructure Partners. Their contract was filed Wednesday with the Massachusetts Department of Public Utilities.


In all, Massachusetts electricity users will save about $1.4 billion over the 20-year duration of the contract, Bloomberg reported.

Energy expert Peter Kelly-Detwiler tweeted that the $65/MWh figure was "astonishing." To put that price into context, he went on, the next record-low price for offshore wind was Maryland's recent $131.9/MWh offer. Rhode Island's Block Island wind farm is set at $244/MWh. Kriegers Flak, a proposed offshore wind farm in the Baltic Sea, will cost $73/MWh.

Bloomberg reported that Vineyard Wind's bid is lower than the wind industry expected.

"That's pretty shocking for us," explained Tom Harries, a wind analyst at Bloomberg NEF. "I think the wider industry expected much higher prices. The repercussions of this are it will probably awaken a lot of other coastal states to the value of offshore wind."

As CommonWealth Magazine noted, while the price is above the average wholesale price of electricity in New England of $34/MWh, wind energy has a host of environmental benefits.

Wind power could also offer public health benefits, especially areas that are heavily reliant on polluting fossil fuels to generate electricity.

Lars Thaaning Pedersen, CEO of Vineyard Wind, said in a press release that the "historic filing represents the start of an industry, one that will assure access to abundant clean energy resources for decades to come."

He said that Vineyard Wind was "able to offer an attractive price to the benefit of consumers" thanks to Federal tax credits and a long-term power-purchase agreement.

Massachusetts has set ambitious goals to reduce greenhouse gas emissions to combat climate change. In August 2016, Gov. Charlie Baker signed a law requiring utilities to competitively solicit and contract for approximately 1,600 megawatts of offshore wind.

"By positioning Massachusetts as a hub for the emerging offshore wind industry, this competitive procurement will ensure the Commonwealth continues to lead the nation in innovation and renewable energy generation," Gov. Baker stated the Vineyard Wind project was selecting in May.

The project is on track to start in-state construction in 2019 with a goal of entering operation by 2021.

EcoWatch Daily Newsletter

The 16-year-old Swede Greta Thunberg speaks during her protest action for more climate protection with a reporter. Steffen Trumpf / picture alliance / Getty Images

By Mark Hertsgaard and Kyle Pope

It's been 30 years since Bill McKibben rang the warning bells about the threat of man-made climate change — first in a piece in The New Yorker, and then in his book, The End of Nature.

Read More Show Less
At the International Motor Show (IAA), climate protestors are calling for a change in transportation politics. © Kevin McElvaney / Greenpeace

Thousands of protestors marched in front of Frankfurt's International Motor Show (IAA) on Saturday to show their disgust with the auto industry's role in the climate crisis. The protestors demanded an end to combustion engines and a shift to more environmentally friendly emissions-free vehicles, as Reuters reported.

Read More Show Less
Sponsored
Setting and testing the line protections for Siemens SF6 gas insulated switchgear in 2007. Xaf / Flickr / CC BY-NC 2.0

Electricity from renewable sources is growing exponentially as the technology allows for cheaper and more efficient energy generation, but there is a dark side that has the industry polluting the most powerful greenhouse gas known to humanity, as the BBC reported.

Read More Show Less
Ella Olsson / Pexels

By Elizabeth Streit, MS, RDN, LD

Sweet and regular potatoes are both tuberous root vegetables, but they differ in appearance and taste.

They come from separate plant families, offer different nutrients, and affect your blood sugar differently.

Read More Show Less
Scientists in Saskatchewan found that consuming small amounts of neonicotinoids led white-crowned sparrows to lose significant amounts of weight and delay migration, threatening their ability to reproduce. Jen Goellnitz / Flickr

By Julia Conley

In addition to devastating effects on bee populations and the pollination needed to feed humans and other species, widely-used pesticides chemically related to nicotine may be deadly to birds and linked to some species' declines, according to a new study.

Read More Show Less
Sponsored

German Chancellor Angela Merkel's government is set to unveil a package of measures on Friday, Sept. 20, to ensure that the country cuts its greenhouse gas emissions 55% by 2030, compared with the 1990 levels.

Read More Show Less
Assorted plastic bottles. mali maeder / Pexels

California ended its 2019 legislative session Saturday without passing two bills that would have led the nation in tackling plastic pollution, The Mercury News reported.

Read More Show Less
People carry children on a flooded street in Almoradi, Spain on Sept. 13. JOSE JORDAN / AFP / Getty Images

Record rainfall and flooding in southeastern Spain killed six people as of Saturday, The New York Times reported.

Read More Show Less