ENVIRONMENTAL BUSINESS
New Jersey : A Future Hub of the U . S . Offshore Wind Industry ?
The Garden State is in a prime geographic spot on the East Coast to be a leader .
By Diane C . Walsh Contributing Editor
New Jersey is positioning itself to be the hub of the East Coast ’ s burgeoning offshore wind industry .
In a special presentation to the Commerce and Industry Association of New Jersey , Joseph Fiordaliso , president of the state Board of Public Utilities , outlined the coordinated strategic approach devised among select departments and agencies .
Already , the BPU , which regulates utilities , awarded Ørsted , a Denmark-based company with 25 years of experience , the right to build a 1,100-megawatt project , 15 miles off the coast of Atlantic City . Ørsted is working with PSEG on the historic wind farm , expected to go live in 2024 . It will produce enough energy for 500,000 homes .
The BPU also solicited bids on a second 2,400-megawatt project and plans are being drawn for a third round in 2022 . “ Our goal is to not only reduce our carbon footprint but make New Jersey the hub of offshore wind on the East Coast ,” Fiordaliso said .
Ørsted and Atlantic Shores Offshore Wind bid on the 2,400-megawatt project . The BPU is scheduled to award the contract in June . As part of the requirements , both companies agreed to fund research on the effects of offshore wind on local wildlife and fisheries . New Jersey ’ s Department of Environmental Protection will oversee the study .
Gov . Phil Murphy set an aggressive master plan by committing the state to 100 percent
Expected in 2024 , a wind farm will produce enough energy for 500,000 NJ homes .
Getty Images / iStockphoto
NJEDA CEO Tim Sullivan
clean energy by 2050 . “ Green energy will help us get out of the economic tailspin ” caused by the COVID‐19 pandemic , Fiordaliso said . Wind is at the centerpiece with a 7,500-megawatt goal . Since it does not rely on fossil fuel , offshore wind is free of the greenhouse gases that drive climate change .
“ We have a moral obligation to the environment to do everything humanly possible to mitigate the effects of climate change . That ’ s our big challenge and our mission at the BPU under the leadership of Gov . Murphy ,” said Fiordaliso , who sported a turbine lapel pin at the event .
Offshore wind makes economic sense , too . The NJ Wind Port in Salem County is expected to create 1,500 jobs and generate $ 500 million in economic activity .
“ We have an extraordinary opportunity to be at the birth of a new industry ,” said Tim Sullivan , CEO of the New Jersey Economic Development Authority . The NJEDA is providing $ 6 million for workforce development and clean technology start-up companies . Sullivan said his agency will work with the state Department of Labor and Workforce Development on the initiatives , which include diversity , equity and inclusion goals .
NJ BPU President Joseph Fiordaliso
The Garden State is in a prime geographic spot on the East Coast to be the centerpiece of the industry and its well-educated workforce gives it a leg-up in the race , Sullivan said . In partnering with Ørsted , the state chose an experienced global leader in the industry that has 25 projects worldwide .
Vince Maione , director of NJ marketing at Ørsted , said his company is committed to hiring local workers . Through its Pro NJ Grantor trust , Maione said Ørsted is also earmarking $ 15 million for small , women-owned and minority-owned businesses to support in their retooling to participate in the offshore wind industry . The trust will also provide funding for infrastructure improvements critical in Atlantic , Ocean and Cape May counties .
Fiordaliso said New Jersey also took a novel approach to determining the best way to transmit the electricity generated by the wind farms . The state signed an agreement with PJM , the manager of electricity grid for 13 states , to explore the most cost effective and environmentally sensitive ways to bring the energy ashore .
“ We have an extraordinary opportunity here ,” said Sullivan , adding , “ shame on us , if we don ’ t make the most of it .”
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