[vc_row][vc_column][vc_column_text]New York has a goal of installing 2.5 GW of offshore wind by 2030 and 9 GW by 2035, which could power 6.5 million homes (1 GW can power about 725,000 homes), making it one of the most aggressive renewable portfolio standards and wind energy goals in the country. New York began its aggressive engagement process last year and is continuing to push forward with solicitations this year to meet their goals on time. The power sector could start to see a shift in market dynamics, as new projects continue to come online.
New York’s Solicitations
New York’s new wind solicitation will result in up to 2.5 GW of offshore wind development, 1.5 GW of onshore wind development, and almost $7 billion in direct investments to help jump-start New York’s economy. The offshore and onshore projects will result in enough electricity to power 2.9 million homes.
- Offshore: The offshore wind Request for Proposals (RFPs), which are being handled by The New York State Energy Research and Development Authority (NYSERDA), are looking to procure at least 1 GW of offshore wind.
- Onshore: The onshore wind RFPs are looking to procure 1.5 GW of onshore wind as part of the state’s Clean Energy Standard. These will be handled by NYSERDA and the New York Power Authority (NYPA). Selected onshore projects will be fast-tracked to construction due to the Accelerated Renewable Energy Growth and Community Benefit Act (AREGCBA), which accelerates renewable energy siting to ensure projects are developed efficiently. This legislation is expected to result in the development of dozens of new large-scale renewable projects over the next 10 years.
- Port Development: In addition to developing wind projects, New York’s RFP also prioritizes the development of offshore wind port infrastructure. Funding for port investments will include $400 million in both public and private funding. These ports, which are essential to offshore wind projects, are used as a base for assembly, manufacturing, and most importantly as a supply chain hub.
Reaching Sustainability Goals and Boosting the Economy
Through the new wind projects, New York is currently on track to meet its interim and overall sustainability goals. The projects will also help New York meet its goal of increasing its generation mix coming from renewables from 30% now to 70% by 2030 and 100% by 2040.
In addition to meeting their sustainability goals, New York’s economy is expected to see a boost. The offshore wind and onshore wind solicitations and port infrastructure investments are expected to deliver $3 billion in net benefits and create 4,500 short and long-term jobs over the 20-25 year lifetime of the projects. These projects will help jump-start New York’s economy and create new jobs in a turbulent economic climate.
These projects are expected to increase wind generation’s share of the resource mix to 11% by 2030, which will affect the state’s electricity and natural gas markets. The state will become less reliant on natural gas to generate electricity resulting in lower demand for gas.
[/vc_column_text][vc_cta h2=”A Movement Toward Green”]As the country begins to recover from COVID-related lockdowns, states are looking for ways to jump-start the economy and create more jobs. As a result, we should see more solicitations like these, especially with the clean energy goals states like New York and New Jersey are adopting. This will transition them towards a cleaner resource mix while creating more jobs.
For more information about New York’s wind projects or renewable energy options, contact EEP today![/vc_cta][/vc_column][/vc_row]