2 Offshore Wind Farms Canceled In New Jersey, Developer Says

OCEAN CITY, NJ — The farm originally planned to be New Jersey's first offshore wind project has officially been canceled by its developer, along with its plans for the second project.

The news that the Ocean Wind 1 and Ocean Wind 2 projects were ceasing development was announced late Tuesday night by Danish developer Orsted, citing decisions by the company's board of directors.

"We are extremely disappointed to announce that we are ceasing the development of Ocean Wind 1 and 2," Orsted's group director and CEO Mads Nipper said in a statement. "We firmly believe the US needs offshore wind to achieve its carbon emissions reduction ambition, and we remain committed to the US renewables market and truly value the efforts by the US government to support the build-up of the US offshore wind industry."

Orsted said that the decision was made because of supply chain delays that further delayed the project - Ocean Wind 1 was originally supposed to begin operation in 2025 but it was delayed until 2026 earlier this year.

Nipper said that "the significant adverse developments from supply chain challenges, leading to delays in the project schedule, and rising interest rates have led us to this decision, and we will now assess the best way to preserve value while we cease development of the projects."

The announcement came as local opposition to offshore wind continues to grow, with Ocean City just last week hiring an attorney to argue against the removal of home rule. The Ocean Wind 1 project would have set 98 turbines off Ocean City's coast.

Further Reading

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