Offshore Wind - Blog Posts

The cost of offshore wind in America is dropping, from 24¢/kWh for the operational Block Island wind farm, to 13¢/kWH for two proposed projects in MD, to an expected 10¢/kWh for two projects in MA. But German offshore wind is only 5¢/kWh. Why is German offshore wind so cheap, and how can US offshore achieve those prices and compte with natural gas (~7¢/kWh).

The biggest factor is perceived risk by financial backers due to regulatory uncertainty. A clear national policy on offshore wind, and a national commitment to developing offshore wind resources, could drive those costs down.

Also increasing cost is the lack of a domestic supply chain and infrastructure. If the US invests in a domestic supply chain, including ports to service offshore wind (as is being done in New Bedford, MA), US offshore wind could become cost competitive with natural gas.

Original Article