OMNI Features｜BOEM Finalizes Wind Energy Areas in Oregon / BlackRock Acquires Eversource Energy Stakes in US Offshore Wind / Germany Publishes Standard PPA Contract

Source: BOEM

｜BOEM Finalizes Wind Energy Areas in Oregon
In support of the Biden-Harris administration’s goals for deploying 30 gigawatts (GW) of offshore wind energy capacity by 2030 and 15 GW of floating offshore wind energy capacity by 2035, the Bureau of Ocean Energy Management (BOEM) announced the designation of two final Wind Energy Areas (WEAs) offshore Oregon. The WEAs were developed following extensive engagement and feedback from the state, Tribes, local residents, ocean users, federal government partners, and other members of the public. The final WEAs are based on reducing potential conflicts of ocean users, particularly on commercial fishing.

The two WEAs total approximately 195,012 acres and they avoid 98% of the areas recommended for exclusion due to their importance as commercial fishing grounds. The Coos Bay WEA is 61,204 acres and is located 32 miles from shore. The Brookings WEA is 133,808 acres and is about 18 miles from shore. A map of the final WEAs can be found on BOEM’s website.

On Aug.15, 2023, BOEM announced a public comment period on two draft WEAs located offshore southern Oregon. The draft WEAs covered approximately 219,568 acres, with their closest points to land ranging from approximately 18 ~ 32 miles.

On Feb. 14, 2024, BOEM will publish a notice in the Federal Register announcing its intent to prepare an environmental assessment of potential impacts from offshore wind leasing in the WEAs. The notice will initiate a 30-day public comment period. Another public comment period would occur if BOEM decides to move forward with a lease sale in either of the WEAs.

In addition to engaging with the State, Tribes, coastal communities and ocean users, BOEM partnered with the National Oceanic and Atmospheric Administration’s National Centers for Coastal Ocean Science (NCCOS) to assess opportunities for wind energy development and reduce or avoid impacts on other important ocean uses in Oregon. The agencies developed a comprehensive, ecosystem-based ocean planning model that leverages the best available data on natural resources, ocean industries like fisheries and energy production, and areas of national security activities to identify areas with high wind energy resource potential and fewer potential impacts to other ocean users and sensitive environmental resources. This comprehensive approach provided valuable insights about the seascape and its uses and facilitated greater transparency and positive coordination with government partners and ocean stakeholders through direct engagement and incorporation of their feedback into the NCCOS model.

｜BlackRock Acquires Eversource Energy Stakes in US Offshore Wind
In the offshore wind industry, BlackRock has lately increased their presence, particularly in key markets like South Korea and the USA. BlackRock acquired Global Infrastructure Partners (GIP) in January 2024, inheriting Skyborne Renewables substantial portfolio. Barely a month after acquiring GIP, BlackRock is now acquiring all of Eversource Energy’s stakes in the US East Coast projects South Fork and Revolution Wind.

These projects are part of Ørsteds US offshore wind portfolio, which recently faced heavy scrutiny due to losses. Eversource Energy’s decision to sell its stakes in these projects may be influenced by these losses.

However, BlackRock, through GIP, is seizing the opportunity to establish a strong presence in the US market. Regarding their third US project "Sunrise Wind", Eversource Energy owns 50%, but Ørsted is set to acquire Eversource Energy's stake in this project. The outcome of the Sunrise Wind transaction depends on the results of the New York 4 solicitation round.

Additionally, BlackRock is expanding its presence beyond the US, as its subsidiary company KREDO has several offshore wind prospects in South Korea. Currently, KREDO is in the process of acquiring an Electricity Business License (EBL) for five offshore wind farm projects in South Korea.

｜Germany Publishes Standard PPA Contract
A standard PPA contract for the German market has been published by the Renewable Energy Market Offensive to assist smaller companies and municipal utilities in particular when concluding an offtake agreement.

However, concluding direct electricity supply contracts is currently a major challenge, especially for smaller companies and municipal utilities due to a lack of personnel capacity and expertise. The contract template offers these organisations the opportunity to conclude a supply contract even without in-depth knowledge of PPA contract types and electricity market effects, The Renewable Energy Market Offensive, part of the German Energy Agency (DENA), said.

Tibor Fischer, spokesman for DENA's Renewable Energy Market Offensive, said: "A growing PPA market can reduce energy costs for companies, promote climate-friendly business models and thus advance the energy transition more quickly overall.

In order to be able to integrate the delivery well into existing contract constellations and to simplify management, the contract was based on a tape delivery as a profile.

Reference:BOEM｜Esgian｜reNEWS.BIZ