Landmark federal policy, record investments, and new state-level actions saw US coastal states increase their long-term targets for offshore wind by 60% in the third quarter, according to the Business Network for Offshore Wind (BNOW).
It marks a new record for quarterly growth, stated BNOW, which examines the factors contributing to this historic expansion in its inaugural US Offshore Wind Quarterly Market Report.
The report details three important developments that made the third quarter among the most consequential for the American offshore wind industry.
One is the passage of the Inflation Reduction Act (IRA), which appropriated $369bn in new, clean energy funding, including billions in tax credits for critical offshore wind manufacturing.
Another is federal support to stand up a floating wind turbine industry in the United States, with the Biden Administration announcing a Floating Offshore Wind Shot initiative and a goal to deploy 15GW by 2035.
The third is ambitious new targets set by coastal states including California, which announced its planning goal to deploy 25GW of floating offshore wind generation by 2045, and New Jersey, which increased its target from 7.5GW by 2035 to 11GW by 2040.
“Our inaugural quarterly report could not come at a more exciting time for offshore wind,” said Liz Burdock, President and CEO of the Business Network for Offshore Wind.
“With historic federal funding, new support for floating wind turbine technology, and increasingly ambitious state-level goals, the longstanding aspirations of the American offshore wind industry are poised to become reality.
“Despite this tremendous growth, the industry still must overcome challenges to upgrade our grid and transmission system, localise a robust supply chain, and train a skilled workforce.
Capitalising on this momentum requires continued coordinated action from our state and federal government to deploy a comprehensive national offshore wind industrial strategy that includes critical investments in our infrastructure, ports, and manufacturers.