NJ's 1st offshore wind farm gets construction OK

Ocean Wind 1 slated to begin work this fall following BOEM approval

Matthew Fazelpoor//July 5, 2023//

PHOTO: NICHOLAS DOHERTY UNSPLASH

Ocean Wind 1 slated to begin work this fall following BOEM approval

Matthew Fazelpoor//July 5, 2023//

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The Garden State’s first offshore wind farm project, Ocean Wind 1, received a final key federal approval needed to clear the way for its construction.

The 1,100-megawatt project, being developed by Ørsted, announced receipt of its Record of Decision (ROD) from the U.S. Department of the Interior’s Bureau of Ocean Energy Management (BOEM) July 5, approving the plan for construction and operations. In reaching the critical milestone, the project remains on track to begin onshore construction activities this fall, with offshore construction slated to ramp up next year.

As NJBIZ has extensively reported, offshore wind has been among the more controversial topics in New Jersey amid a rash of marine mammal deaths that has led to calls from some lawmakers, activists and shore communities to pause until more is learned.

Supporters and proponents of offshore wind have pointed to a lack of conclusive evidence linking the sector to the deaths, as well as an ongoing unusual mortality event, especially noting that the only work being done so far is mapping of the ocean floor and not actual construction. Opponents have countered by pointing to sonar technology as a potential cause of disorientation of whales and dolphins.

“Today’s approval for the Ocean Wind 1 project is another milestone in our efforts to create good-paying union jobs while combatting climate change and powering our nation,” said Secretary of Interior Deb Haaland. “By working closely with state and local leaders, Tribes, ocean users, and other stakeholders, we are moving forward with responsible clean energy development that will benefit communities, while also mitigating potential impacts on the environment or marine life.”

“Ocean Wind 1 represents another significant step forward for the offshore wind industry in the United States,” said BOEM Director Elizabeth Klein. “The project’s approval demonstrates the federal government’s commitment to developing clean energy and fighting climate change and is a testament to the State of New Jersey’s leadership in supporting sustainable sources of energy and economic development for coastal communities.”

The project is at the center of the state’s ambitious clean energy goals, anticipated to power approximately 500,000 homes when it begins commercial operations in 2025 while creating thousands of jobs.

“The announcement of Ocean Wind 1’s Record of Decision today represents a pivotal inflection point not just for Ørsted, but for New Jersey’s nation-leading industry as a whole,” said Gov Phil Murphy. “By preparing to begin onshore construction this fall, Ocean Wind 1 will help bring New Jersey one crucial step closer to achieving a 100% clean energy economy by 2035 and 11,000 MW of offshore wind power by 2040.

“Just as importantly, as we continue to cultivate burgeoning new industries while confronting the worsening climate crisis, our state’s first offshore wind project will generate thousands of good-paying union jobs and considerable environmental benefits for generations to come,” Murphy said.

Ørsted ribbon-cutting — Ørsted held a ribbon-cutting ceremony Oct. 13, 2022, for its North American digital operations headquarters in Newark. From left: Tim Sullivan, CEO, New Jersey Economic Development Authority; Kathleen Frangione, head of government affairs and market strategy, Ørsted; Tammy Murphy, New Jersey First Lady; and Teik Lim, president, NJIT. – ØRSTED

“Ocean Wind 1 is on the cusp of making history as construction on New Jersey’s first offshore wind farm is set to begin in a few short months, delivering on the promise of good-paying jobs, local investment and clean energy,” said David Hardy, group executive vice president and CEO Americas at Ørsted, in a statement that also thanked the various stakeholders and partners for their help in getting the project to this point.

“Not only is offshore wind critical to our clean energy future, it is also a key economic driver and job creator as New Jersey seeks to become the supply chain hub for the east coast in this growing sector,” said Joseph Fiordaliso, president, New Jersey Board of Public Utilities.

“Offshore wind presents a once-in-a-generation opportunity for New Jersey, and Ocean Wind 1 will offer high-skilled, good-paying union jobs and major economic investment in South Jersey, all while providing cleaner air and a healthier environment,” said New Jersey Economic Development Authority CEO Tim Sullivan.

The ROD approves Ocean Wind LLC’s plan to construct up to 98 wind turbines and up to three offshore substations within its lease area.

The news was also applauded by Garden State labor leaders.

“The news of BOEM’s issuance of its Record of Decision relating to Ocean Wind 1 is great news that is well-received by our leadership, but more importantly by the 150,000 members of New Jersey’s building trades community,” said William Mullen, president of the New Jersey State Building and Construction Trades Council. “New Jersey’s trades men and women have trained long and hard in anticipation of this decision that allows Ocean Wind 1 to move ahead with its onshore construction plans that will provide well-paying jobs today and into the future.”

“Organized labor recognizes the immense value this project holds in regard to job creation and economic development,” said Charles Wowkanech, president of the New Jersey AFL-CIO. “This decision paves the way for Ocean Wind 1 to proceed with its onshore construction plans, unlocking job opportunities that will support our highly skilled workforce and their families.”

Stay with NJBIZ for more reaction and analysis from this major federal decision.