New Jersey launches tender for up to 2.4 GW offshore wind developments

The New Jersey Board of Public Utilities (NJBPU) has open the application window for the State’s second solicitation of offshore wind capacity. This second solicitation seeks to award between 1,200 MW and 2,400 MW of offshore wind energy, potentially tripling the State’s committed capacity from 1,100 MW to 3,500 MW. This represents a significant milestone toward achieving Governor Phil Murphy’s goal of 7,500 MW of offshore wind energy in New Jersey by 2035, which will power 3.2 million homes with renewable energy. The Board also unanimously approved the final New Jersey Offshore Wind Strategic Plan.

In addition to the solicitation, the Board approved the final New Jersey Offshore Wind Strategic Plan, the State’s comprehensive roadmap for achieving 7,500 MW of offshore wind energy by 2035. The plan was developed by Ramboll U.S. Corporation through an extensive public stakeholder process. It presents recommendations on establishing an offshore wind industry that achieves net economic benefits and gives New Jersey residents the best overall value, while also protecting the environment and commercial and recreational fishing interests, and mitigating the impacts of climate change.

While developing the State’s offshore wind resources, NJBPU will continue to coordinate with the New Jersey Department of Environmental Protection (NJDEP) to identify and prioritize the research and monitoring needs of this nascent industry. Ongoing habitat surveys, as well as fish and wildlife studies, will provide critical data on New Jersey’s diverse and ecologically valuable natural resources, and how new offshore industries can support them.

In opening the second solicitation today, the Board put forth its Second Solicitation Guidance Document, which was developed through a robust public stakeholder process and provides the solicitation’s mechanics and timeline, project application requirements, and evaluation criteria. The application window opens on September 10, 2020, and closes on December 10, 2020. The Board anticipates awarding the resulting offshore wind projects in June 2021.

In 2019 the Board made an award from its first offshore wind solicitation to Ørsted’s 1,100 MW Ocean Wind project, the largest single-project award in the country. The project, which will be built 15 miles off the coast of Atlantic City and is expected to commence operations in 2024, will generate an estimated US$1.17 billion in economic benefits for New Jersey and create 15,000 jobs over the 20-year life of the project.

The tender information can be accessed on our business opportunity page here.