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Virginia wants to be the East Coast hub for offshore wind developers

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Virginia wants to be the East Coast hub for offshore wind developers

Virginia officials hope to capitalize on expected growth in the U.S. offshore wind energy industry by pitching the state as the ideal hub for supplying and servicing projects that are planned up and down the East Coast.

The Virginia Department of Mines, Minerals and Energy, or DMME, requested a report May 21 on ways the state can leverage advantages including its proximity to project sites, unlimited air clearance at its ports and its status as the northernmost right-to-work state on the East Coast, which the department said is a "key feature" of Virginia's economic competitiveness.

"Hampton Roads' unmatched port infrastructure and high-quality maritime workforce make the region an ideal location for offshore wind energy development," Virginia Gov. Ralph Northam said in a May 22 news release, referring to the Hampton Roads area of southeastern Virginia. "Virginia should be the prime location for the offshore wind industry, from the supply chain to the full build out of our offshore wind assets off the coast."

Efforts to position Virginia at the center of an East Coast supply chain are coming at a promising moment for the U.S. offshore wind market, according to industry officials. "Policymakers and permitting agencies are finally aligned" on offshore wind, Laura Beane, CEO of project developer Avangrid Renewables LLC, a subsidiary of Avangrid Inc., said at an industry conference May 8.

In 2017, Dominion Energy Virginia signed an agreement with Danish offshore wind developer Ørsted A/S — formerly known as DONG Energy — to build a trial wind farm 27 miles off the coast of Virginia Beach, Va. The 12-MW project, which is expected to be completed by 2020, represents the first step in building out a 112,000-acre area that is capable of supporting 2,000 MW of power generation from wind turbines, the DMME said. Dominion Energy Virginia, a subsidiary of Dominion Energy Inc., is known legally as Virginia Electric and Power Co.

Additionally, vessels stationed in Virginia could transport equipment to lease areas off the coasts of New Jersey, Delaware, Maryland and North Carolina within 20 hours, the department said.

Beyond the mid-Atlantic region, Beane said a combination of state renewable energy targets, projected load growth and plans to shut down fossil-fuel and nuclear power plants will require 25,000 MW of incremental clean-energy capacity in the northeastern U.S. Geographical constraints will make offshore wind an ideal resource for meeting those needs, Beane said.

Virginia is offering $125,000 for a plan to make the state the "location of choice" for the East Coast offshore wind supply chain and service industry. Responses are due June 22, and work must be completed by Oct. 19.