Offshore wind reaches further into manufacturing-rich Carolinas as leases auctioned for $315 million; new auction rules target funding for supply chain investment
For Immediate Release: May 11, 2022
Media Contact: Melinda Skea | [email protected] | 202-709-9793
BALTIMORE – The Oceantic Network, a nonprofit dedicated to building the offshore wind industry and its supply chain, today applauded the completion of the Carolina Long Bay lease auction, the second of the year. Comprising roughly 110,000-acres off the North Carolina coast, the two lease areas, named Wilmington East, were awarded to TotalEnergies Renewables USA and Duke Energy Renewables Wind, whose winning bids totaled $315 million ($160M and $155M, respectively). This is the first time that the Bureau of Ocean Energy Management (BOEM) has used an auction credit system to encourage direct investment into the supply chain.
Addressing the International Offshore Wind Partnering Forum (IPF) two weeks ago, North Carolina Governor Roy Cooper said he expected his state’s manufacturing sector to play a major role in the emerging domestic offshore wind supply chain. The Wilmington East lease areas will support North Carolina’s clean energy goals, which include deploying 2.8 GW of offshore wind power by 2030 and 8 GW by 2040. Once fully developed, the two lease areas are expected to generate at least 1.3 GW of offshore wind energy – enough to power nearly 500,000 homes. Earlier this year, Governor Cooper signed legislation requiring a 70 percent decrease in energy emissions by 2030 and a net-zero energy sector by 2050.
Liz Burdock, CEO and founder of the Oceantic Network issued the following statement:
“Today, America’s offshore wind industry and its supply chain took another significant step forward step with the successful Wilmington East lease auction. For the first time, the federal government used an auction system designed to spark investment directly into U.S. manufacturers, small businesses, shipbuilders, and new workforce training, accelerating development of the already-emerging domestic supply chain. With global demand for offshore wind soaring, the U.S. must seize this once-in-a-generation opportunity and develop a robust domestic supply chain to secure our energy future. Today’s lease sale continues the momentum toward a sustainable U.S. offshore wind market, opening the door further to North Carolina’s rich manufacturing sector, and unlocking the full potential of the U.S. supply chain that will create tens of thousands of jobs in manufacturing centers and coastal towns alike.”
The Oceantic Network is the largest non-profit organization dedicated solely to building a robust offshore wind supply chain and expanding adoption of offshore wind energy. It advances the industry through collaboration, education, and innovation, including the International Partnering Forum (IPF), the leading offshore wind conference in North America, and the OSW Market Dashboard. Learn more at offshorewindus.org.