A power purchase contract for Orsted’s 400MW Revolution wind farm has been filed for review with the Rhode Island Public Utilities Commission.
The deal, which sets the 20-year levelised price for the project at $73.68 per megawatt-hour, will undergo a 120-day assessment.
Rhode Island Governor Gina Raimondo said the project, which is part of a wider 830MW complex, has come in at a price “far lower than we anticipated”.
“This is a triple-win for our state because it provides affordable, clean energy for Rhode Islanders, adds jobs to our economy and dramatically reduces carbon emissions,” she said.
Some 800 construction jobs and 50 permanent positions will be created as part of the project.
“We’re keeping our promise to Rhode Island to bring down the cost of offshore wind in a big way,” said Orsted US co-chief executive Jeffrey Grybowski.
Details of Orsted commitments to invest $250m locally on the project, including $40m in investments in Rhode Island ports and funds for higher education, supply chain development and workforce development, will be announced in the “coming weeks”, said the Governor’s office.
Construction on the project could begin in 2020 once final permitting is completed. Commercial operations are pegged for a 2023 start.