New Jersey is starting new offshore wind projects after two major developments effectively failed in 2023.
The state’s utility regulators green-lit two major contracts on Wednesday in a bid to revitalize the state’s offshore wind dreams, months after Ørsted — one of the largest offshore wind developers in the world — pulled the plug on two massive projects off the New Jersey coast in October 2023, the New Jersey Board of Public Utilities (NJBPU) announced Wednesday. [emphasis, links added]
As of November 2023, New Jersey was engaged in a dispute with the company over $300 million the state says it is owed.
The two developments selected are Invenergy and energyRE’s Leading Light Wind Project and Attentive Energy LLC’s Attentive Energy Two Project, according to the NJBPU.
The state is banking on the projects to eventually supply enough electricity to power 1.8 million homes.
Inflation, high borrowing costs, and logistical problems plagued Ørsted’s projects for months before the company decided it had no other choice but to walk away from its investment.
The company previously agreed to pay $200 million to build wind-related facilities in southern New Jersey and set aside $100 million to pay the state in the event it canceled its projects, but the company was attempting to work its way out of those liabilities as of November 2023.
The new contracts are designed to insulate against the risks of future cancellations, according to E&E News.
The deals include provisions that account for inflationary pressures, while also requiring Attentive to put up a $67 million security and mandating that Leading Light put up a security of $120 million.
The newly-contracted projects are also expected to increase utility rates in the state.
Residential electricity rates are expected to jump by $6.84 per month, commercial rates would increase by $58.73 per month, and monthly industrial rates would rise by $513.22, according to E&E News.
One of the two terminated Ørsted contracts would have been about half as expensive for residential ratepayers, according to The New York Times.
Read rest at Daily Caller
I would love to show you all the idiotic solar panels our failed state of NJ put up on all the telephone poles some years ago. Snow covered solar panels don’t do very well, and on top of that they drop their accumulated snow on unsuspecting pedestrians and cars. Gotta love it.
The World Economic Forum claims that renewable energy is cheaper than fossil fuels. Some that have commented on this web site have been very adamant that is the case. Yet, here we have a real world example where transitioning to wind energy will add $6.84 per month to household electric bills. To make it worse, liberals have a horrendous history of under estimating costs, especially for projects that are politically motivate. I expect cost for a home to go up at least three or more times the $6.84 estimate. Don’t forget, according to more than one poll, Americans are only willing to spend $10 a year one fighting climate change.
My brother was an accountant for a large retailer, in charge of supply logistics. Lately, he revealed that he votes Liberal and believes that wind and solar energy is free. He doesn’t drink or do drugs. Something sinister got into him, Swiss-cheesed his brain.
The Blue State blunder heads do everything for the UN/Globalists