Globally, offshore wind (OSW) is rapidly emerging as a promising and environmental-friendly source of reliable energy. In the US, the exploration of this abundant resource has only just commenced, with an installed capacity of 42 MW off the coast of Rhode Island and Virginia as of 2022. The country aims to add 30 GW of OSW by 2030 and 110 GW by 2050. Further, a distinct focus on innovation is seen through the aim to incorporate 15 GW of floating OSW into the energy matrix by 2035. 

According to American Clean Power Association’s (ACP) latest May 2023 Offshore Wind Market Report, the US has a rapidly expanding pipeline of projects, with 32 leases totalling 51,377 MW of expected capacity. Of this, 84 per cent or 43,115 MW is on the East Coast with the remaining 8,262 MW spread across five leases on the West Coast. OSW capacity in the pipeline could power more than 20 million homes. 

Among the states, New York is leading with a total of 4,362 MW of OSW capacity in the pipeline, with 132 MW under construction (via the South Fork offshore wind farm or OWF). New Jersey follows with 3,758 MW of capacity in the pipeline, all of which is in advanced developmental stage. Massachusetts is the only other state with an OWF under construction. Vineyard Wind’s 806 MW OWF is expected to complete construction in 2023. It represents quarter of the state’s 3,242 MW of capacity in the pipeline.

States are the driving force behind OSW procurement, with ten states setting OSW procurement targets totalling over 81,000 MW. In 2022, Louisiana (5 GW by 2035) and California (2-5 GW by 2030 and 25 GW by 2045) set OSW procurement targets for the first time.

By 2030, OSW project development, construction, and operations are projected to generate employment for up to 83,000 Americans, while the sector’s investments are primed to contribute USD25 billion annually to economic output. 

The report emphasises the positive economic effects of OSW on domestic shipbuilding and supply chain, with more than 30 new vessels currently either ordered or under construction to bolster the industry’s operations. It offers critical insights into upcoming OSW projects and the locations of announced manufacturing facilities among other things.

For more details, the report can be accessed here.