Energy Central News

Curated power industry news from thousands of top sources.

News

Ørsted announces another delay to Skipjack Wind Farm near Ocean City

Source: 
The Herald-Mail

OCEAN CITY, Md. - A proposed offshore wind farm off the coast of Ocean City has been delayed again, according a statement from the company planning the project.

Ørsted announced Friday its expected completion date for its Skipjack Wind Farm has been delayed to sometime in mid-2026. Friday's announcement was the second delay by Ørsted is the last two years.

The Skipjack Wind Farm is one of two offshore wind farms currently in development. Both wind farms are slated to sit at least 10 miles from the Ocean City beach, with the Skipjack project residing further north toward the Delaware state line than the MarWin Wind Farm being planned by U.S. Wind.

Ørsted officials informed state regulators with the Maryland Public Service Commission about the delay on Thursday, but didn't specify what's causing the postponement.

This most recent delay stems from the fact that Ørsted hasn't yet established an interconnection facility for its project, said Brady Walker, Mid-Atlantic market manager for Ørsted.

An interconnection facility is the site where the energy collected by the wind turbines is transported to land and then connected into the power grid.

Ørsted initially planned to build its interconnection facility at Fenwick Island State Park in exchange for $18 million investment in the state park. The deal fell apart last summer when Ørsted decided to "pivot" away from Fenwick Island because it didn't want to disturb the park's wetlands.

"We've been evaluating options in the wake of our decision to move away from Fenwick Island, and that work is continuing," Walker said. "We're looking forward to having more of a discussion with stakeholders later this year."

Ørsted will use this two-year delay to finalize plans for an interconnection facility, and the company plans to engage stakeholders this summer about some of the options it's come up with, Walker said.

Ørsted wants to receive feedback from the public before it decides on a site, and plans to hold those conversations in June or July, Walker said.

The Skipjack project was originally set to be completed this year, but last April Ørsted announced it was delaying the completion of the offshore wind farm until late 2023.

Ørsted CEO Henrik Poulsen then hinted at another delay in November when he told investors the project might get pushed back if issues with the federal offshore wind review process couldn't be resolved.

Though the project won't be completed for another five years, Ørsted's partnership with the state of Maryland is a long-term agreement, Walker said.

Ørsted and the state of Maryland have a 20-year agreement in place that provides financial incentives to the Danish renewable energy company to build offshore wind projects.

"This is a decades long commitment that Ørsted is making to the state of Maryland and to a number of communities," Walker said. "This is very much a new industry that we are building in the United States, and it's important that we take these steps to get it right from the outset."

Discussions

Spell checking: Press the CTRL or COMMAND key then click on the underlined misspelled word.

No discussions yet. Start a discussion below.

Get Published - Build a Following

The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.

If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.

                 Learn more about posting on Energy Central »