Tag Archives: Equinor ASA
“Offshore wind is in trouble,,, US offshore wind slammed by runaway costs
The US offshore wind industry, banking on a big boost from the landmark Inflation Reduction Act, has found itself face-to-face with a major hurdle that’s been right there in the name all along: inflation. In fact, the law might even be making it worse. More than 10 gigawatts of offshore wind projects along the US East Coast, the equivalent of roughly 10 nuclear power reactors, are at serious risk as higher costs force developers to re-crunch the numbers for proposals originally modeled years ago, before a runup in interest rates and material costs. Orsted A/S, the Danish wind giant, said this week it’s prepared to walk away from projects unless it gets even more government aid. Other developers are already paying tens of millions in penalties to exit contracts they say no longer make financial sense. more, >>click to read<< 08:20
New York Rejects Offshore Wind’s Request to Raise Rates
Offshore wind developers are reevaluating some New York projects after regulators rejected higher rates by Equinor ASA, Orsted A/S and others that would have added as much as $12 billion in costs. Developers planning to build more than 4 gigawatts of wind-power capacity off Long Island must abide by existing contracts to deliver power, the New York Public Service Commission unanimously ruled during a meeting Thursday. The ruling is the latest blow to the US offshore wind industry already contending with inflation and supply-chain issues. The future of projects such as Orsted’s Sunrise Wind is now in question after Thursday’s decision. >>click to read<< 17:06
‘These Waters Are Hot’: U.S. Auction Opens Up Offshore Wind Farm Rush
When the U.S. last auctioned big plots of ocean to companies that wanted to build offshore wind farms a few years ago, it raked in a then-record-setting haul of $405 million. That’s set to be obliterated Wednesday,,, “We expect high bids, potentially the highest on record.” While the Trump administration only held two lease sales for offshore wind areas in four years, President Joe Biden has said he wants enough offshore wind farms to power 10 million homes by 2030 and is planning six more auctions from California to the Carolinas. Not everyone is excited about the prospect of hundreds of new turbines,,, There’s also another potential problem with a record-setting sale: power prices. Since developers will eventually be passing on the costs of building the wind farms to the homeowners and businesses that buy the electricity they generate, bidding wars and high prices for the tracts of ocean could eventually boost the price of that power. >click to read< 13:58
Deal emerges to bring 1st offshore wind farms to California Coast, but a fleshed-out deal could be elusive
For years, the military has managed to block the establishment of offshore wind lease areas off of Southern and central California, effectively holding back development across the entire state.,, Now, a tentative compromise is being floated by Rep. Salud Carbajal (D-Calif.) with backing from the military and federal and state agencies: Let developers produce wind power in central California waters that the military had once ruled incompatible with its own operations, But a fleshed-out deal could be elusive. Military spokespeople and state officials who oversee coastal land use were quick to downplay suggestions that a breakthrough is afoot. >click to read< 17:40
