New Jersey breaks ground on dedicated offshore wind port
13 Sep 2021 - Upstream Costs and Technology | Headline Analysis
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Melvin LeongMelvin LeongPrincipal Research Analyst

New Jersey has broken ground on its first dedicated wind port facility. Earthworks will begin shortly and major construction is slated for December 2021, with target opening set for the winter of 2023/2024. The facility will be purpose-built to serve projects on the East Coast of the United States, and will be used for staging, assembly, and manufacturing activities.

The port, to be sited on an artificial island on the Delaware River, southwest of the City of Salem, was selected in June 2020, after a selection process spanning close to two years. Costing around USD257 million, the port will be funded largely by the state of New Jersey (USD200 million), with contributions by the NJ Board of Public Utilities (NJBPU) (USD13 million), and the NJ Department of Transportation (USD44 million). AECOM-Tishman has been appointed the Construction Manager. Extensive engagement with industry, government, and environmental stakeholders was carried out and a project labor agreement (PLA) was signed with the United Building Trades Council of Southern New Jersey AFL-CIO was signed for the construction works.

In July, NJBPU awarded 1,510 MW of capacity to Atlantic Shores Offshore Wind, and 1,148 MW of capacity to Ocean Wind II, taking New Jersey’s total planned capacity to over 3.7 GW. This is greater than half of the states 2035 target of 7.5 GW. The board plans to award a further 1,200 MW in 2022. As part of the award, the developers agreed t contribute USD26 million (USD10,000 per MW) to fund research initiatives and monitoring of wildlife and fisheries in the region.

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