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www.Energy.Maryland.gov
Maryland Offshore Wind Developments
Samuel BeirneWind Energy Program Manager
January 26, 2018
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www.Energy.Maryland.gov
Key Accomplishments
• Maryland became the first State to approve large commercial offshore wind projects
• Set the price benchmark in the US for large commercial projects
• Launched two grant programs specifically for the offshore wind supply chain
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www.Energy.Maryland.gov
Maryland
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www.Energy.Maryland.gov
Policy Drivers
GHGReductionGoal40%by2030
RGGI2.5%/yr reductionthru
20203%/yr reductionthru
2030
EmPOWERMaryland
2%annually
RPS25%by2020
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www.Energy.Maryland.gov
OSW Legislation
• Maryland Offshore Wind Energy Act of 2013 created…– Pipeline via 2.5% offshore wind carve out– Subsidy & Offtake via ORECs– Project application and review process
• Later established in Rule Making 51– Local benefit requirement
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www.Energy.Maryland.gov
Delmarva Lease Areas
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www.Energy.Maryland.gov
Maryland Projects
Deepwater Wind• 120 MW• Fifteen 8 MW turbines
• 19 miles from MD • $720 million cost estimate• Connects to Ocean City,
Maryland • Scheduled for November 2022
completion
US Wind• 248 MW• Forty-one 6 MW turbines or
Thirty 8.4 MW turbines• 17 miles from MD• $1.4 Billion cost estimate• Connects to Indian River,
Delaware• Scheduled for January 2020
completion
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www.Energy.Maryland.gov
PSC Order No 88192Approval Conditions
Deepwater Wind• Must spend 34% of total costs
in Maryland• $25 million for steel fabrication
facility• $13.2 million for port
infrastructure upgrades• $6 million to the OSWBDF• 913 dev/construction jobs• 484 O&M jobs• Minority participation
US Wind• Must spend 19% of total costs
in Maryland• $51 million for steel fabrication
facility • $26.4 million for port
infrastructure upgrades• $6 million to the OSWBDF• 1,298 dev/construction jobs• 2,282 O&M jobs• Minority participation
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www.Energy.Maryland.gov
Offshore Wind Price
The United States now has an offshore wind price benchmark for commercial projects.
$131.93/MWh (2012$)
$166.70/MWh (by 2021)1 percent escalator each year after
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www.Energy.Maryland.gov
• In April 2017, MEA launched two grant programs to ensure Maryland had a local workforce and supply chain entering the offshore wind industry
– OSW Business Development Grant Program
– OSW Workforce Development Grant Program
Grant Programs
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OSW Business Development Program• Provides grant funding to help offset upfront barrier costs in
two key areas: – Market Entry Assistance– CAPEX & Facilities Upgrades
• Open to emerging business, including minority owned emerging business
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• Supports new or existing training centers that provide vocational training of technical skills and safety standards utilized by the offshore wind industry
• Open to emerging business, including minority owned emerging business, non-profits, and State/Local government
OSW WorkforceDevelopment Program
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www.Energy.Maryland.gov
• Business - $700,000 Total– Strum Contracting Co., Baltimore, MD – $225,000– Martin Holdings Inc., Ocean City, MD - $375,000– Devreco LLC., Salisbury, MD – $100,000
• Workforce - $300,000 Total – Arcon Welding Fabrications Salisbury, MD –
$100,000– Jane Addams Resource Corporation - Baltimore, –
$200,000
FY 2018 Grant Awards
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