leases

California Offshore Wind Auction | Earth Wise

January 10, 2023 By EarthWise Leave a Comment

In December, the Bureau of Ocean Energy Management held the first auction for offshore wind energy leases on the West Coast. The BOEM lease sale offered five lease areas covering 373,268 acres off the central and northern California coast. The leased areas have the potential to produce over 4.6 gigawatts of wind energy, which is enough to power 1.5 million homes.

The auction drew competitive bids from five companies totaling over $750 million. The winning bidders were RWE Offshore Wind Holdings, California North Floating, Equinor Wind, Central California Offshore Wind, and Invenergy California Offshore.

RWE is a German company with subsidiaries across the globe. California North Floating is an affiliate of the Danish developer Copenhagen Infrastructure Partners. Equinor Wind is a Norwegian company already heavily involved in offshore wind projects on the East Coast. Central California Offshore Wind is managed by a joint venture between Spanish and French energy companies. Invenergy is a privately held global developer and operator of renewable energy headquartered in Chicago.

The bidders will receive credits for participating in programs that support work force training programs for the floating offshore wind industry and/or the development of a US domestic supply chain for that industry.

Offshore wind off the Pacific coast has enormous potential for enhancing the country’s energy future but represents a significant challenge because the deep ocean floors necessitate the use of floating wind technology as opposed to turbines that are affixed to the sea floor.

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Biden-Harris Administration Announces Winners of California Offshore Wind Energy Auction

Photo, posted December 30, 2013, courtesy of Derek Finch via Flickr.

Earth Wise is a production of WAMC Northeast Public Radio.

Drilling Rights In The Arctic National Wildlife Refuge | Earth Wise

February 2, 2021 By EarthWise Leave a Comment

The battle to prevent oil and gas drilling rights from being sold in the Arctic National Wildlife Refuge in Alaska has been going on for 40 years. The Trump administration spent nearly four years pushing to auction off those drilling rights and finally accomplished it in early January.

The ANWR was created in 1960 and is the largest intact wilderness in the U.S., covering nearly 30,000 square miles in Alaska. It is an important breeding habitat for polar bears as well as the home of more than 200 other species including caribou, arctic foxes, golden eagles, and snowy owls. Parts of it are also sacred ground for the indigenous Gwich’in people.

The auction carved out a 5% slice of the refuge for leases and proponents anticipated it would generate billions of dollars in revenues that would offset tax cuts in Alaska.

Of the 22 parcels of land offered, totaling 1.1 million acres, only 12 were bid on at all and the state of Alaska was the sole bidder on 9 of those. In total, the auction raised a paltry $14 million.

Whether the remarkable absence of interest was due to a lack of infrastructure or roads around the region, the decline of fossil fuel investments and use during the pandemic, or the anticipation that any leases would be the subject of endless legal battles by indigenous tribes and environmental activists, the net result was that the auction was basically a flop.

President Biden has stated that he is entirely against Arctic drilling, so the new administration is likely to try to repeal or interfere with any drilling leases or other industrial activity in the ANWR.

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Arctic Oil Drilling Plans Suffer ‘Stunning Setback’ as Almost ‘No One Shows Up’ For the Sale

Photo, posted July 3, 2019, courtesy of Alaska Region U.S. Fish and Wildlife Service via Flickr. Photo Credit: Danielle Brigida/ USFWS

Earth Wise is a production of WAMC Northeast Public Radio.

A Giant U.S. Offshore Wind Project Begins | Earth Wise

June 22, 2020 By EarthWise Leave a Comment

In recent years, the Bureau of Offshore Energy Management – the agency that oversees energy projects in federal waters – has been granting leases for offshore wind projects in the waters of multiple states on the East Coast. Up until now, none of these leases have actually resulted in the deployment of any wind turbines because the process of gaining approvals, project plans, surveys, funding and other requirements is a long and tortuous one.

In late May, the first offshore wind turbine in U.S. federal waters was installed 27 miles offshore from Virginia. The 6-MW Siemens turbine is one of two turbines making up the Coastal Virginia Offshore Wind pilot project. The pilot project is expected to be operational later this year. This project is the first to receive go-ahead approval by the BOEM.

The CVOW project is a development by Dominion Energy, a Virginia-based utility that operates in 20 states. Dominion’s project will eventually be a 2.64 GW mega-farm that could be the largest offshore wind farm in the world. Construction of the main project is expected to begin in 2024. It will be sited in the seabed of a 112,800-acre lease area. The site is currently being surveyed to determine potential impacts to ocean and sea life.

Dominion Energy has made multiple commitments to emissions reduction and the massive offshore wind farm is an important part of its efforts to meet those commitments. The CVOW pilot project is only the second offshore wind installation in the U.S. The first, the Block Island Wind Farm in Rhode Island, is in state waters and did not require BOEM approval.

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A ‘monumental day’ for US offshore wind as first turbine is installed in federal waters

Photo, posted May 13, 2011, courtesy of the Department of Energy and Climate Change via Flickr.

Earth Wise is a production of WAMC Northeast Public Radio.

A First In The Climate Change Fight | Earth Wise

March 6, 2020 By EarthWise Leave a Comment

Under a new initiative, builders in New Jersey will have to take climate change into account in order to win government approval for projects. New Jersey is the first state in the United States to enact such a requirement, which will leverage land-use rules to control what and where developers can build, and limit the volume of pollution.

Through executive order, New Jersey Governor Phil Murphy will require the state Department of Environmental Protection to draft new building regulations. The changes, to be adopted by January 2022, do not require legislative approval, but could face political and legal challenges.

Climate change is expected to have a significant impact on New Jersey and its 130 miles of coastline. According to a recent study from Rutgers University, the sea level along the New Jersey coast rose 1.5 feet since 1911, which was more than twice as much as the global average. The sea level is expected to rise by as much as another foot by 2030. At the same time, some coastal areas of New Jersey are gradually sinking.

The initiative by New Jersey comes on the heels of a Trump administration proposal which would allow federal agencies to not take climate change into account when evaluating infrastructure projects. The federal changes are geared towards speeding up approvals for highway construction, pipelines, oil and gas leases, and other major infrastructure projects.

In the absence of anything resembling leadership on climate change from the federal government, it remains for states like New Jersey to continue to press ahead. In addition to the new building initiative, New Jersey also plans to produce 100% clean energy by 2050.

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Excluding Climate Change From Infrastructure Planning | Earth Wise

With 130-Mile Coast, New Jersey Marks a First in Climate Change Fight

Photo, posted August 27, 2016, courtesy of Rashaad Jorden via Flickr.

Earth Wise is a production of WAMC Northeast Public Radio.