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Pre-Bid Projects

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U.S. to lease nearly 500,000 acres for wind power development

The Associated Press
U.S. to lease nearly 500,000 acres for wind power development

TRENTON, N.J. — The federal government will lease an area larger than half the size of Rhode Island off New Jersey’s and New York’s coasts for wind power development, the first offshore lease in the Joe Biden Administration, Interior Secretary Deb Haaland announced recently.

The Bureau of Ocean Energy Management auction of nearly 202,300 hectares is planned for next month and covers parcels off the so-called New York Bight and could lead to enough energy production to power up to two million homes, according to the Interior Department.

The announcement comes as President Joe Biden’s administration aims to reach 30 gigawatts of offshore wind production by 2030, with more than half of it expected to come from New Jersey and New York by 2035. The project announced could account for up to seven gigawatts, the department said.

Haaland announced the lease on a call, joined by Democratic governors Phil Murphy of New Jersey and Kathy Hochul of New York as well as AFL-CIO President Liz Shuler. The project gives the country a chance to fight climate change and create “good-paying, union jobs,” Haaland said.

“We are at an inflection point for domestic offshore wind energy development. We must seize this moment – and we must do it together,” she added.

The decision to move forward with the lease comes after stakeholders, including commercial fisheries, weighed in and resulted in a reduction of the size of the lease area by 72 per cent, according to the department.

The closest distance to New Jersey among the parcels is 50 kilometres offshore, while the nearest to New York is 37 kilometres, according to the bureau.

The project carries several stipulations, including the requirement of project labour agreements and planned incentives for using components like blades, turbines and foundations made in the United States.

The project is the first lease under Biden’s administration, but other offshore wind projects had been approved earlier, including an 800-megawatt project off Martha’s Vineyard, Mass., and a 130-megawatt project off Rhode Island and New York.

The auction is set for Feb. 23, with a public hearing about the proposal set for Jan. 19.


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