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July 18, 2019

Offshore wind project's delays said to risk plan

The commercial-scale offshore wind project planned for the waters 15 miles south of Martha's Vineyard is at risk if officials can't get a key determination from the federal government by the end of August.

In a statement released Thursday morning, Vineyard Wind said it met with officials from the Department of Interior's Bureau of Ocean Energy Management, the agency it hoped to receive a Final Environmental Impact Statement from by last Friday. Project officials remain confident about obtaining the statement.

"Through all of our communications with government officials, it has been made clear to us that there was no intention to prevent the Vineyard Wind 1 project from moving forward," the company said, adding that the project would become far more challenging if a Final Environmental Impact Statement isn't issued in the next four to six weeks.

The Trump administration this year switched secretaries at the Interior Department, which oversees the Bureau of Ocean Energy Management, with David Berhardt succeeding Ryan Zinke. A BOEM spokesman said this week that the agency is operating within its two-year review window which extends until March 2020.

Based on contact with BOEM staff, Vineyard Wind officials believe Bernhardt supports the 800 megawatt project.

"To date Vineyard Wind has not spoken with the secretary," said project spokesman Scott Farmelant. "We understand he's supportive of the project moving forward but he was not ready to release the [Final Environmental Impact Statement] because he needed additional time for evaluation."

Gov. Charlie Baker said this week that the federal government had offered new "guidance" about the project, which is slated to occur in a 160,000-acre lease area with turbines at least eight-tenths of a mile apart, but Baker and project officials have declined to specify the nature of that guidance.

Tensions between the commercial fishing industry and offshore wind developers have been a constant thread as the new industry looks to establish roots.

While Vineyard Wind is encouraged by positive feedback project officials have received in recent days from business groups, small business owners, local construction unions and elected officials, Farmelant said an extended delay could create untenable pressure on the project.

The project's contractual and financing obligations are time sensitive. "None of these activities can easily be postponed and most of them require execution by a date certain or are lost indefinitely," said Farmelant.

The project must also produce power by Feb. 15, 2022 to qualify for its investment tax credits, officials say, and faces seasonal work limitations. For instance, an agreement designed to protect endangered right whales means offshore work can't be done from January through April, and is limited in December and May. Onshore work, under an agreement with the town of Barnstable, may only be done after Labor Day and the in the months leading up to Memorial Day.

A project backed by Copenhagen Infrastructure Partners and Avangrid Renewables, Vineyard Wind plans to generate 3,600 jobs during construction and Farmelant said the project is poised to show investors and business people "that the offshore wind in America has finally arrived."

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