Norway-based energy company Equinor announced today that it has been selected by New York State Energy Research and Development Authority (NYSERDA) to provide New York State with offshore wind power from the Empire Wind 2 and Beacon Wind 1 projects, along with incoming partner bp. The deal marks the largest-ever award in the US offshore wind market, and one of the largest renewable energy procurements in the US to date.
Equinor and bp will provide 1,260 megawatts (MW) of renewable offshore wind power from Empire Wind 2, and another 1,230 MW of power from Beacon Wind 1, in addition to an existing commitment to provide 816 MW of power from Empire Wind 1. As part of the award by NYSERDA, the companies will partner with the State to transform two New York ports – the South Brooklyn Marine Terminal (SBMT) and the Port of Albany – into large-scale offshore wind working industrial facilities that position New York to become an offshore wind industry hub.
Anders Opedal, CEO of Equinor, said:
“These projects will deliver homegrown, renewable electricity to New York and play a major role in the State’s ambitions of becoming a global offshore wind hub. The U.S. East Coast is one of the most attractive growth markets for offshore wind in the world. The successful bids for Empire Wind 2 and Beacon Wind 1 represent a game-changer for our offshore wind business in the U.S. and underline Equinor’s commitment to be a leading company in the energy transition. These projects will also create value through economies of scale and support our strategic ambition of becoming a global offshore wind major.”
The award follows the announcement in September of a strategic partnership between Equinor and bp to develop offshore wind projects in the US, including the development of existing offshore wind leases on the US East coast, and the joint pursuit of further offshore wind opportunities. The deal included a $1.1 billion payment by bp for a 50% interest in Equinor’s Empire Wind and Beacon Wind assets.
Siri Espedal Kindem, President of Equinor Wind U.S., said:
“Together, Equinor and the State of New York will create a robust offshore wind supply chain capable of manufacturing, assembling, and staging these projects at scale. As Equinor works to expand its renewable energy presence across the United States and the globe, New York’s leadership clearly illustrates the transformative benefits of offshore wind on climate goals and economic activity alike. We are looking forward to developing Empire Wind and Beacon Wind together with local authorities, communities and our incoming partner bp in growing this new industry.”