New Jersey nixes plans for fourth wind farm award

The industry has been buffeted by a memorandum issued by President Donald Trump that ordered a pause to new and renewed offshore wind leases and permits, effectively freezing all but one New Jersey wind project.

by Nikita Biryukov, New Jersey Monitor

New Jersey’s utility regulator announced it would close its fourth round of offshore wind solicitations without awarding a bid Monday, the latest in a series of setbacks facing Gov. Phil Murphy’s ambitious wind energy goals.

In a statement, Board of Public Utilities President Christine Guhl-Sadovy said two of the three firms to enter bids in the fourth round had withdrawn, leaving Atlantic Shores — which had a major investor withdraw last week — as the only bidder.

“The Board concluded that an award in New Jersey’s fourth offshore wind solicitation, despite the manifold benefits the industry offers to the state, would not be a responsible decision at this time,” she said.

Last week, Shell, a 50-50 investor in Atlantic Shores, said it would end its involvement in projects to develop a combined 4,310 megawatts of offshore wind capacity in two areas roughly 8.4 miles off New Jersey’s coast.

The industry has been buffeted by a memorandum issued by President Donald Trump that ordered a pause to new and renewed offshore wind leases and permits, effectively freezing all but one New Jersey wind project.

Atlantic Shores said it would continue to carry on with its projects despite Shell’s withdrawal. Atlantic Shores South, the only New Jersey wind project to obtain all its federal approvals, is set to generate 2,800 megawatts as early as 2028.

Though Murphy and board officials lauded offshore wind development as a “once-in-a-generation” opportunity, they said the industry’s hurdles — which include persistent supply chain issues, a hostile federal government, and opposition from shore towns — demanded a slowdown.

“Now is the time for patience and prudence,” Murphy said. “I support the BPU’s decision on the fourth offshore wind solicitation, and I hope the Trump Administration will partner with New Jersey to lower costs for consumers, promote energy security, and create good-paying construction and manufacturing jobs.”

New Jersey League of Conservation Voters Executive Director Ed Potosnak panned Monday’s decision, saying it “plays right into the hands of Donald Trump.”

“At this critical moment in our nation’s history, New Jersey needs a governor who will boldly chart a course forward to build a clean energy future that delivers union jobs and healthier air and water to working families across our state. We can’t afford to take our cues from Donald Trump and his billionaire friends. At a time of record prices and climate-change fueled wildfires and extreme storms we need a strong clean energy standard for New Jersey now more than ever,” Potosnak said.

Rate Counsel Brian Lipman, who is tasked with advocating on behalf of ratepayers on utility matters, said he believed the BPU made the correct decision.

The announcement comes the same day ROI-NJ reported that the state Economic Development Authority is exploring alternative uses for the New Jersey Wind Port, an offshore wind marshaling and manufacturing hub slated for Salem County.

New Jersey Monitor is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. New Jersey Monitor maintains editorial independence. Contact Editor Terrence T. McDonald for questions: [email protected].

Emergency powers to restart coal plants? – This Week in Cleantech

This Week in Cleantech is a weekly podcast covering the most impactful stories in clean energy and climate in 15 minutes or less featuring John…
power pole and transformer

How Hitachi Energy is navigating an ‘energy supercycle’

Hitachi Energy executives share insight into the status of the global supply chain amidst an energy transition, touching on critical topics including tariffs and artificial…