Another proposed offshore wind project is off the table.
Vineyard Offshore confirmed late Friday that it was withdrawing the 800 megawatts Massachusetts had selected from its 1,200 MW Vineyard Wind 2 project from contract negotiations, saying the deal with Massachusetts was contingent on Connecticut buying the remaining 400 MW.
“We are proud to present our Vineyard Wind 2 proposal in response to the request from three New England states, and we thank Massachusetts for its tentative award of 800 MW. With Connecticut’s decision today not to purchase the remaining 400 MW , we are unable to contract all 1,200 MW of the project at this time,” said Vineyard Offshore spokeswoman Kathryn Niforos.
“We look forward to advancing this project and participating in future applications to meet the region’s growing energy needs while stimulating economic investment and creating thousands of American energy jobs.”
Connecticut officials announced earlier Friday that their state selected new solar and electricity storage projects, but no new offshore wind projects, in its latest round of procurement.
Connecticut was expected to participate in a tri-state wind procurement along with Massachusetts and Rhode Island, but did not purchase any projects when bids were announced earlier this year.
Massachusetts in September selected 1,087 MW of the 1,287 MW SouthCoast wind project, with the remaining 200 MW going to Rhode Island. Massachusetts also chose to take the entire 791 MW New England Wind 1 project.
The state also selected up to 800 MW of the 1,200 MW Vineyard Wind 2 project at the same time. The process has been repeatedly delayed, and the contracts were expected to be finalized on January 15 and submitted for approval to the Department of Public Services on February 25.
Through the previous three bidding rounds, Massachusetts had procured a total of 3,200 MW of offshore wind capacity: 800 MW from Vineyard Wind 1 in 2017, a cumulative 1,200 MW from SouthCoast Wind spread between procurement rounds in 2019 and in 2021 and 1,200 MW. from Commonwealth Wind in 2021.
But 75% of the pipeline’s power was removed when Commonwealth Wind and SouthCoast Wind scrapped their contracts last year, citing changing economic conditions that made the projects no longer financially viable at the prices they had previously negotiated .
Despite the state’s major moves toward cleaner energy generation since 2016, Vineyard Wind 1 is the only project Massachusetts has in its offshore wind pipeline, and that project has been on a turbulent path.
The Executive Office of Energy and Environmental Affairs did not immediately respond to a request for comment.
State officials have relied on developing a robust offshore wind industry as a primary strategy for meeting Massachusetts’ decarbonization commitments, and it’s seen as a sector that could provide a host of new jobs for residents.
But projects have been repeatedly delayed, costs have risen significantly in the meantime, and the incoming president has long been an antagonist of the wind industry.
Officials at the Executive Office of Energy and Environmental Affairs have said the state plans to launch another application for offshore wind in 2025.