An offshore wind farm at 80% completion is halted in the US
The project Revolution Wind, under construction off the coast of Rhode Island, was ordered to stop construction after having completed 80% of the construction. The Danish company Ørsted, owner of the project, informed that it had stopped all activities in the farm, but it will initiate legal actions “to resolve the matter”.
Revolution Wind had an estimated capacity of 704 megawatts (MW), enough to power around 350,000 homes, and had already installed all foundations and 45 out of the 65 turbines for the project. The farm acquired power purchase agreements (PPA) to deliver 400 MW of electricity to Rhode Island and 304 MW to Connecticut for 20 years.
The company had initially estimated a commercial operation date by the second half of 2026, to fulfil the commercial obligations. However, it is uncertain if the company will be able to restart construction.
Ørsted received an order from the Department of the Interior’s Bureau of Ocean Energy Management (BOEM) to stop all work at this farm. The company informed that it’s complying with the order, but taking legal actions.
“Ørsted is evaluating the potential financial implications of this development, considering a range of scenarios, including legal proceedings. Ørsted will, in due course, advise the market on the potential impact of the order on the plan,” said the company in a statement.
This is the second attempt by the US administration to stop an offshore wind project, arguing national security concerns, after the halting of Empire Wind off the coast of New York. However, one month later, in May, the administration lifted the prohibition, and Equinor could restart work on the farm.
