Under Mills, Maine is watching a regional effort to curb transportation emissions

A Massachusetts report released earlier this year said a similar mechanism for vehicle emissions could cost the average driver $2 per month and  the Acadia Center has said it could generate $1.38 billion in revenue for Maine between 2019 and 2030.

Read the full article from Bangor Daily News here.

Maine PUC Staff Recommends Approval Of CMP’s Transmission Project

Supporters include Gov. Janet Mills, large electricity users such as paper mills or chip-makers in the Industrial Energy Consumers Group, Public Advocate Barry Hobbins, the Maine State Chamber of Commerce, the Maine Snowmobile Association, the City of Lewiston and two environmental groups, the Conservation Law Foundation and the Acadia Center.

Read the full article from New Hampshire Public Radio here.

Mainers deserve facts, not fear, on NECEC project

As a result, the stipulation I authorized the Governor’s Energy Office to sign onto is markedly different from where things stood at the end of last year. Many parties, including the Conservation Law Foundation, the Acadia Center, electrical union IBEW, the Maine Public Advocate, the Passamaquoddy Tribe, the nonprofit Western Mountains & Rivers Corp., the city of Lewiston, the Industrial Energy Consumers Group and the Union of Concerned Scientists all agree that this project should go through. The editorial boards of the Portland Press Herald, the Bangor Daily News and The Ellsworth American have all said the same.

Read the full article from The Ellsworth American here.

Members of “Our Transportation Future” Coalition Back New Framework for Transportation and Climate Initiative

BOSTON – Members of Our Transportation Future – a coalition of 64 leading environmental, scientific, transportation, health, and business organizations advocating in support of a regional clean transportation policy under the Transportation & Climate Initiative (TCI) – reacted this afternoon to a newly proposed TCI framework, just announced by the TCI states and Washington, D.C., moving forward with implementation of the regional clean transportation initiative.

States in TCI are moving the needle today with a new proposal for how the regional cap-and-invest policy will work.  Today’s highly anticipated announcement of the TCI policy framework marks the next big step for the 12 Northeast and Mid-Atlantic states – CT, DE, MA, MD, ME, NH, NJ, NY, PA, RI, VA, and VT – and Washington, D.C. that are members of TCI.

Members of Our Transportation Future provided direct comments for OTF’s reaction to this morning’s TCI policy framework:

“Taking on the largest source of air pollution will require bold solutions, and the TCI framework released today offers a solid foundation for a bold, regional cap-and-invest program,” said Jordan Stutt, Carbon Programs Director at Acadia Center. “The TCI states need to build on that foundation by establishing an ambitious cap on emissions—aligned with the latest science—and forward-looking investment approaches to deliver better, cleaner, more equitable transportation options across the region.”

The full release is available at:  https://www.ourtransportationfuture.org

Media Contacts:

Patrick Mitchell
pmitchell@hastingsgroup.com, 703.276.3266

Jordan Stutt, Carbon Programs Director
jstutt@acadiacenter.org, 617.742.0054 ext. 105

Northeast States Claim Top Spots in the 2019 State Energy Efficiency Scorecard

BOSTON – Northeast states performed well in the 2019 State Energy Efficiency Scorecard, with Massachusetts taking the top spot for the 9th consecutive year, according to rankings released by the nonpartisan American Council for an Energy-Efficient Economy (ACEEE). Rhode Island and Vermont tied for #3. New York and Connecticut ranked #5 and #6, respectively. 

Maine was ranked #15, and New Hampshire improved a spot to #20. 

The region’s strong showing is largely due to state policies requiring programs to pursue all energy efficiency that is cost-effective, rather than defining a proscribed level of funding. In addition, several states across the region have begun to implement policies that address new opportunities and challenges in energy efficiency, such as using additional efficiency investments to lower costs associated with peak times of demand for energy and a fuel-neutral approach that gives consumers access to incentives and savings, no matter whether they use electricity, heating oil, or gas in their homes. 

“Energy efficiency is a cornerstone of the clean energy economy in the Northeast and beyond. Efficiency has reduced the cost of doing business, lowered consumer energy bills, limited the need to build costly new energy infrastructure, and provided healthier, more comfortable spaces to live and work,” said Daniel Sosland, Acadia Center president. “But there’s much more efficiency to be captured in the region, including for traditionally underserved sectors like low-income customers. States need to continue to support strong efficiency policies – and the next generation of energy efficiency – so the Northeast can capture these substantial benefits for consumers and the environment.” 

Energy efficiency is the most cost-effective way to significantly reduce greenhouse gas emissions in the energy sector. Over the last decade, strong efficiency policies and programs have helped the Northeast lower carbon pollution while providing a range of economic and public health benefits.  

The ACEEE rankings, released annually, are based on scoring in categories including state government initiatives, building efficiency policies, utility and public benefits programs, transportation policies, and appliance standards. ACEEE awarded Massachusetts a perfect score in the utility program category, particularly praising the programs’ contribution as the largest contributor to achieving the state greenhouse gas emissions reduction goals. 

“Over the last nine years, Massachusetts’ strong customer-funded efficiency programs have grown the economy while saving ratepayers money and cutting emissions – and they’ll continue to do so. But Massachusetts could do more to take full advantage of other policies to ensure that our buildings, homes, and transportation are as efficient as possible,” said Amy Boyd, senior attorney at Acadia Center and a member of the Massachusetts Energy Efficiency Advisory Council. “One of the most effective ways to achieve efficiency savings – and more greenhouse gas reductions – is through improved appliance standards. Particularly with the Trump Administration’s freeze on updating the federal standards, it is even more important to push for higher efficiency in the standards that states control.” 

Rhode Island maintained the #3 spot for the third year. With strong state policy that prioritizes investments in energy efficiency over traditional energy supply, Rhode Island last year achieved electric savings of 2.75%, relative to total electricity sales, one of the highest levels in the country. Efficiency programs have saved Rhode Islanders $1.32 billion in energy costs since 2008. Like Massachusetts, Rhode Island earned no points in the appliance standards category, as appliance standards legislation has repeatedly stalled at the statehouse. 

Vermont, meanwhile, moved up one spot, to tie Rhode Island at third, rounding out the top tier of states aggressively pursuing all cost-effective energy efficiency.  

Much More to be Done Across the Region 

As in recent years, there was a sizable gap between the top efficiency performers and the second tier of states, underscoring that other states in the region must do much more to reduce energy use and minimize consumers’ costs. 

New York moved into the #5 spot, scoring relatively well on transportation and building efficiency policy and in state government initiatives. But the state has significant room for improvement in maximizing and procuring new cost-effective energy efficiency through utility and public programs. New York in 2018 set a new energy reduction target of 185 trillion BTUs by 2025, but critically important utility energy savings targets and other details of implementation are still being worked out. Like Massachusetts, New York is using a fuel-neutral approach designed to better align efficiency program goals with state policy goals such as decarbonization.   

Connecticut, which slipped one spot to #6, continued to suffer the effects of a massive fund raid in 2017 that seriously weakened energy efficiency programs and the efficiency workforce. 

“Connecticut’s well-established energy efficiency programs are capable of delivering significant energy and utility bill savings to customers,” said Amy McLean Salls, Connecticut Director at Acadia Center and a member of the state’s Energy Efficiency Board. “Connecticut’s path forward must include robust energy efficiency investments that make homes and businesses more efficient, support the transition from dirty heating fuels to high-efficiency electric heat pumps, and expand peak demand management. Next-generation efficiency policy should include larger heat pump incentives and strong customer and vendor education programs to help overcome barriers to heat pump deployment.” 

Maine’s #15 ranking reflects in part that it can do more to expand energy efficiency access and savings for Maine homes and businesses, including setting more aggressive energy savings targets and capturing additional cost-effective efficiency. Maine has led the nation in deployment of clean, efficient electric heat pumps and has a new goal of installing 100,000 heat pumps by 2025. Maine could also improve its programs – and rank – by adopting the most recent building energy code and passing appliance standards. 

New Hampshire implemented the first year of its Energy Efficiency Resource Standard (EERS) in 2018, putting it on a path to reduce energy waste. But at #20, the state still ranked relatively low this year due to several factors, including a lack of commitment to transportation efficiency and appliance standards. New Hampshire has seen a modest increase in efficiency gains from utility programs but spending on energy efficiency has only begun to ramp up. The legislature failed to overturn a requirement that it approve any increase in the efficiency charge, creating an additional hurdle to achieve all cost-effective efficiency.   

The Scorecard is available at: https://aceee.org/state-policy/scorecard. 

Media Contacts: 

 Erika Niedowski, RI Director and Energy Efficiency Lead
eniedowski@acadiacenter.org, 401.276.0600 ext. 401 

 Krysia Wazny McClain, Communications Director
kwazny@acadiacenter.org, 617.742.0054 ext. 107 

New Hampshire Governor Vetoes Legislation That Would Bring Energy Savings to More Residents

CONCORD, N.H. – On Friday, Governor Sununu vetoed a bill (HB582) that would have increased funding for efficiency projects, particularly for low income customers, who currently experience a long wait list for the popular weatherization programs. With his veto, Governor Sununu prevented additional revenue from the Regional Greenhouse Gas Initiative from being distributed to these programs.

“By vetoing this bill, the governor has ensured that New Hampshire will continue to have difficulty investing in the cheapest form of energy available in the state,” said Ellen Hawes, Senior Analyst at Acadia Center. “This is a huge missed opportunity for New Hampshire’s residents and economy, as well as the state’s progress toward climate safety.”

Energy efficiency investments make electricity cheaper for all ratepayers. By 2027, energy efficiency is projected to reduce the amount of electricity we need to generate by more than 22%. In New Hampshire, the NHSaves electric efficiency programs deliver energy savings at 77% lower costs than buying more power. New Hampshire’s current use of RGGI auction revenue continues to provide benefits for the state, but the relatively small portion of funds directed towards energy efficiency prevents New Hampshire from maximizing its benefits.

For the first time ever, the New England grid operator (ISO New England) is predicting a decline in peak demand over the next ten years, mostly due to projected gains in energy efficiency and on-site solar generation. ISO-NE projects that by 2020, energy efficiency will reduce demand on peak days by more than all of the region’s nuclear power plants combined can supply. States must have strong programs to sustain and advance these gains.

In addition to this most recent veto, on July 19th the Governor vetoed a bill (SB205) that would have allowed the Public Utilities Commission to continue to set energy efficiency investment levels at rates most beneficial to ratepayers. This bill would have also increased the public’s ability to engage with how efficiency funds are spent, by expanding membership of the Energy Efficiency and Sustainable Energy Board.

“By requiring legislative approval for this one portion of rates, the legislature will add delay, uncertainty and increased costs for utilities, stakeholders and the Public Utilities Commission, under Sununu’s erroneous and disingenuous assertion that it is a hidden tax,” said Hawes.

Media Contacts:

Ellen Hawes, Senior Analyst
ehawes@acadiacenter.org, 207-233-4182

Krysia Wazny McClain, Communications Director
kwazny@acadiacenter.org, 617-742-0054 x107

A New Approach to Transportation in Connecticut Could Cut Pollution, Boost the Economy and Deliver 23,000 Jobs

HARTFORD, Conn. – Today, Acadia Center released an analysis illustrating the benefits of a new approach for Connecticut to reduce transportation pollution while improving the system to better meet its residents’ needs. The analysis shows that, if designed well, a regional cap-and-invest policy developed through the Transportation & Climate Initiative (TCI) could enable the state to make over $2.7 billion in crucial transportation investments by 2030, which would generate over 23,000 long-term jobs and $7 billion in economic activity.

“Connecticut can be a leader in developing a bold, equitable program to invest in needed transportation modernization while capping pollution in the state,” said Amy McLean Salls, Connecticut Director and Senior Policy Advocate at Acadia Center. “By capping transportation emissions and auctioning pollution allowances, all residents in the state will benefit through investments in transportation infrastructure and improved mobility options. The state’s overburdened and underserved communities are disproportionately bearing the brunt of non-accessible transportation options and harmful impacts of local air pollution. A modernized clean transportation system would be transformative for Connecticut’s people and economy.”

Acadia Center’s analysis demonstrates that new transportation investments funded through a regional cap-and-invest program would deliver substantial economic, environmental, and mobility benefits in Connecticut. As Connecticut works with other states to develop this program, advocates, community groups and other stakeholders are joining forces to determine what that program – and Connecticut’s transportation future – should look like.

On Tuesday evening, Acadia Center, the Center for Latino Progress, the CT Roundtable for Climate and Jobs, Sierra Club and Transport Hartford Academy gathered, joined by 55 stakeholders including transportation and environmental advocates, environmental justice activists, health professionals, business leaders, Commissioner Dykes from the Department of Energy and Environmental Protection and Tom Maziarz from the Department of Transportation, for an important Connecticut-focused meeting to discuss efforts to deliver a more equitable, modern low-carbon transportation future.

“It is far past time for the State of Connecticut to act. As we act to quickly reduce greenhouse gas emissions and pollutants, we have the opportunity to invest in our communities, quality of life, and local employment,” said Gannon Long, Assistant Coordinator for Transport Hartford Academy at the Center for Latino Progress. “A transportation focused cap-and-trade system, implemented in 2021, could be a useful tool in achieving the state’s critically important emission reduction targets.”

To estimate the economic opportunity for a market-based transportation climate policy, Acadia Center’s report examined a sample investment portfolio including bus fleet electrification and transit system improvements, commuter rail updates and expansion, electric vehicle rebates and charging infrastructure, and walking and biking infrastructure. To determine how funds from this type of program are ultimately invested, participating states will need to develop a process that includes input from the most impacted parties, in particular low-income and disadvantaged communities.

“Cap-and-invest programs do not operate in a vacuum – they work best when they are designed to complement other policies and accelerate the transition to less-polluting options,” said Jordan Stutt, Carbon Programs Director at Acadia Center. “This analysis illustrates how cap-and-invest proceeds could bolster Connecticut’s existing efforts to deliver modern, accessible, low-carbon transportation options while spurring local job creation.”

Read the full report here: https://acadiacenter.org/document/investing-in-connecticuts-transportation-future/ 

As Baker Admin Seeks to Allow Dirty Fuels to Qualify for Renewable Energy Subsidies, Clean Energy Advocates and Scientists Demand More Transparency and Accountability

BOSTON – Last Friday marked the close of a three-month public comment period on the Baker Administration’s proposal to overhaul rules that establish what electric power generation resources qualify for renewable energy subsidies. Massachusetts clean energy advocates sent a letter yesterday to Secretary of Energy and Environmental Affairs Kathleen Theoharides sharply criticizing these proposed regulatory changes that would, among other things, significantly increase rate-payer subsidies for wood-burning power plants and garbage incinerators.

The letter, signed by Acadia Center, Conservation Law Foundation, Green Energy Consumers Alliance, the Massachusetts Sierra Club, Partnership for Policy Integrity, and RESTORE: The North Woods, states:

“[T]he Department of Energy Resources (DOER), which is now under your purview, has led a deeply flawed rulemaking process for an even more deeply flawed proposal to rewrite regulations implementing the state’s Renewable Portfolio Standard (RPS). …These regulations are currently the linchpin of Massachusetts climate policy; numerous other policies of the Commonwealth incorporate RPS-eligibility in their implementation, including the Clean Peak Standard now under development. Changes to the RPS regulations must be grounded in environmental and climate science.” 

The organizations signing today’s letter commit to “help[ing] the Baker administration correct course and to ensure that the RPS assists the state in complying with the Commonwealth’s climate mandates, rather than promoting technologies that will actually increase emissions.”  The groups are requesting stakeholder input into a study that the Baker Administration is only now conducting on the impacts of the proposed regulations, and the opportunity for environmental advocates and climate scientists to meet with decision makers to share their information.

Throughout the public comment period, DOER’s proposals to substantially roll back science-based standards governing the eligibility of biomass power plants for subsidies raised the most extensive concerns. Nearly one hundred organizations signed on to a letter to DOER calling on the agency to withdraw its proposed rule changes, which also impact subsidies for hydroelectric power and other areas of renewable energy. Signers included local, state and national environmental groups, public health advocates, consumer protection groups, local governments, and municipal groups, including the Metropolitan Area Planning Commission.

Dozens of scientists, doctors, environmentalists, and concerned citizens testified at public hearings across the state, and more than a thousand written comments were submitted in opposition. In addition, nearly 40 state legislators submitted a letter raising concerns about the proposed biomass eligibility rollbacks, and Attorney General Maura Healey also weighed in, flagging multiple ways in which the proposal may violate state law and undermine efforts to meet climate change goals.

Media Contacts:

Laura Haight, Partnership for Policy Integrity
lhaight@pfpi.net, 518-949-1797

Deborah Donovan, Acadia Center
ddonovan@acadiacenter.org  617-742-0054 x103

Jake O’Neill, Conservation Law Foundation
joneill@clf.org Press Secretary 617-850-1709

Rhode Island Legislature Punts on Climate: Smart Siting Legislation Languishes

Several state legislatures in the Northeast have gone big on climate in recent weeks.

New York passed a sweeping climate plan pledging to reach 100% carbon-free electricity by 2040 and net zero greenhouse gas emissions, across the whole economy, by 2050. Maine enacted legislation that doubles the amount of renewable electricity in its Renewable Portfolio Standard to 80% by 2030 and 100% by 2050. Connecticut authorized a massive boost to offshore wind—the construction of up to 2,000 megawatts.

Not Rhode Island. Legislators in Rhode Island ended their six-month session late last month without passing any climate legislation at all.

Several climate bills died in committee, including one that would have established an economy-wide price on carbon pollution and another that would make binding the greenhouse gas reduction targets of the Resilient Rhode Island Act. (Unlike in Massachusetts and Connecticut, Rhode Island’s emissions reduction goals are aspirational, not mandatory.)

The General Assembly also failed to act on a high-profile challenge whose resolution is important to ensuring that solar reaches its potential as a climate solution in Rhode Island. Here’s a look at how that issue played out.

Balancing solar and land stewardship

Both the House and Senate introduced legislation that would have addressed the urgent pressure many communities are facing over the siting of large-scale, ground-mounted solar projects. The bills were informed by the work of a group of stakeholders the state Office of Energy Resources and the Department of Environmental Management convened nearly two years ago to work through the complexities of the issue.

Acadia Center has added its clean energy expertise to the group, which includes renewable energy developers, municipal planners, clean energy advocates, conservation groups, and consumer advocates. The goal? To develop strategies that balanced the need to accelerate solar while also minimizing its environmental impact on forests and prime farmland.

Guided by 13 smart siting principles stakeholders developed through consensus, the committee put forth strategies that garnered widespread support from diverse quarters. The legislation, as introduced, would have:

• Closed a loophole that effectively allowed projects to bypass the current statutory 10 MW cap on individual remote net metering projects by combining multiple installations at one site. Co-locating projects on contiguous parcels would no longer be allowed;
• Applied a smaller size cap—of 4 MW—to solar projects in designated areas of environmental concern;
• Created a new incentive for siting solar projects in preferred areas like landfills, gravels pits, and brownfields by reimbursing energy developers for interconnection costs; and
• Established a timeline for municipalities to adopt individually tailored solar siting ordinances to help local officials review projects and provide developers with a more predictable process.

The House’s siting bill never came to a vote in committee. The Senate passed a watered-down version that did not sufficiently address siting incentives. While the Senate’s amended bill mandated enactment of municipal siting ordinances, other critical strategies including reasonable size limits in areas of environmental concern and incentives for siting in preferred areas were scrapped.

Without any of the improvements proposed in the solar siting legislation, the status quo will largely continue: Rhode Island is likely to see the construction of more large projects on cleared forestland.

In some communities, the legislature’s inaction could have the opposite effect: leading to municipal moratoria that put at least a temporary pause on any solar construction. That outcome not only hinders Rhode Island’s ability to meet its climate goals but also dents growth of the clean energy sector, which has been a bright spot in the economy.

Rhode Island continues to be a leader in energy efficiency, and is moving ahead with a full-size offshore wind farm to join the nation’s first, Block Island. Rhode Island has committed to develop, along with nine states and Washington, D.C., a regional policy proposal to cap and reduce greenhouse gas emissions from the most polluting sector: transportation. The Governor just signed an Executive Order for focused inter-agency work on the state’s heating sector, which must move off natural gas. All of this is welcome progress.

Still, the legislature will have to think—and act—bigger on climate, or risk Rhode Island being left behind. The climate crisis is here; there is no time to waste.

Author: Erika Niedowski, Rhode Island Director & Policy Advocate

Offshore Wind Makes Big Moves Across the Northeast Region

Two years ago, Acadia Center’s EnergyVision 2030 examined the energy mix needed to achieve the Northeast’s 2030 decarbonization goals and determined that at least 13% of the region’s electricity needs could be served by the development of 9.5 GW of offshore wind. In New England and New York, Acadia Center has advocated for ambitious state procurement goals and these states have recently made incredible progress. Over the last three years, Northeast states have raised their collective 2035 offshore wind goals from 1.6 GW to 14.6 GW, and they may exceed the EnergyVision 2030 target if several of the projects are completed before 2030. Together, the Northeast states’ ambitious targets for offshore wind development could generate enough electricity to satisfy a quarter of the region’s total electricity needs.

Although only one small offshore wind project is in operation today, states have begun to make real progress toward reaping the benefits of one of the world’s most bountiful clean energy resources – the abundant wind off of the Atlantic coast. States are finding that offshore wind is available, feasible, affordable, and it supports economic development, good jobs, and carbon reductions. The combined commitments from the Northeast states could produce as much as 60 TWhs of carbon-free electricity, reducing carbon emissions by about 29 million tons every year.

State comparison of current commitments, selection processes, completed procurements, and construction of offshore wind.

Connecticut

Since 2016, Acadia Center has been actively working with Connecticut to grow its commitment to offshore wind and, in 2018, Governor Malloy’s administration made its first two procurements totaling 300 MW. The first 200 MW project is predicted to support about 1400 jobs through both the addition of wind farm construction jobs and the jobs supported by increased spending in the local economy by those new workers. Following these two procurements, the state entered into a public-private partnership with the wind and marine services industries for a $93 million redevelopment of the New London state pier as a hub for regional offshore wind activities. With its long-standing maritime economy, New London has great potential to become one of the support centers for offshore wind build out in the region. In June 2019, Acadia Center and a coalition of clean energy advocates won a major victory when the state passed legislation requiring that the state issue solicitations for 2000 MW of offshore wind by 2030, or about 30% of the state’s electricity consumption. This commitment puts Connecticut at the front of the pack for northeastern states in terms of share of total electricity demand to be provided by offshore wind.

Massachusetts

In 2016, in response to efforts by Acadia Center and a coalition of clean energy advocates, Massachusetts passed legislation to secure its first 1600 MW of offshore wind by 2027. It has since selected an 800 MW project to be completed by 2021. The project is expected to reduce CO2 emissions by 1.6 million metric tons annually, equivalent to removing about 315,000 cars from the road, and deliver net benefits of $1.4 billion over the 20-year life of the contract. The contract demonstrated that the offshore wind industry can supply energy at costs competitive with fossil fuel generation over the long term. The developer also committed $15 million in investments to spur the offshore wind industry in Massachusetts. Governor Baker’s administration has issued a request for proposals for another 800 MW, with bids due in August 2019.

Acadia Center’s advocacy in 2018 helped secure passage of legislation authorizing an additional 1600 MW of offshore wind by 2035 pending a study to investigate the necessity, benefits, and cost of more offshore wind. In keeping with input from Acadia Center and other stakeholders, the May 2019 study supports increasing the state’s overall commitment to 3200 MW. These findings are bolstering the push for legislation to set the state’s overall offshore wind target at 6000 MW by 2035, which would be equivalent to nearly 50% of the electricity consumed by the state.

To support the construction of these large projects, the site of Massachusetts’ last coal plant will be converted to serve as a base providing support and logistics for the offshore wind industry, as well as transmission and battery support for turbines offshore.

New York

So far, New York leads the region in its total commitment to offshore wind capacity at 9000 MW, and it is making offshore wind a centerpiece of its plan to decarbonize the state’s electricity system. As a first step, the state issued a procurement in November 2018 of at least 800 MW. Leading up to its release, Acadia Center worked with allies to ensure that the procurement was structured to maximize consumer savings, support workforce development, and include environmental protections. The state is poised to announce its selection for a project up to 1200 MW.

New York’s offshore wind goal is a major building block of Governor Cuomo’s recently announced commitment to 100% emissions free electricity by 2040 and a net-zero carbon economy by 2050.

Rhode Island

Rhode Island led the region’s offshore wind efforts by hosting the first offshore wind project built in the United States: the 5-turbine, 30 MW Block Island Wind Farm, completed in late 2016. In May 2019 the state also approved a contract for 400 MW of offshore wind and is considering proposals for up to an additional 350 MW. The state is on track to reach the Governor Raimondo’s goal of 1000 MW sourced from clean, renewable energy by 2020.

Rhode Island has also been an early home to U.S. offshore wind industry headquarters for major companies, including Deepwater Wind (recently acquired by Ørsted) and GEV Wind Power. The presence of these new developers in the state demonstrate that a robust offshore wind industry can create not only clean power and cost savings, but good jobs and economic development opportunities.

Other Northeast States

Maine: Unlike its neighbors to the south, Maine’s coastal seabed drops off steeply right from shore, meaning that wind developers can’t use technology that attaches towers to the ocean floor in shallower depths. But that hasn’t stopped Maine from moving forward with offshore wind. Maine is looking to a much newer and experimental technology using floating platforms. Governor Mills recently signed a law recommitting Maine to a project consisting of two 6-MW turbines on floating platforms.

In another important step signaling Maine’s strong commitment to offshore wind (and other clean energy innovations), Governor Mills has created the Maine Offshore Wind Initiative and joined Massachusetts and New Hampshire to participate in the Gulf of Maine Intergovernmental Regional Task Force on Offshore Wind. As the costs of floating platform-based offshore wind come down, Maine’s opportunities to make larger commitments to offshore wind will continue to grow.

New Hampshire: Until recently, New Hampshire was on the sidelines in the offshore wind development race. But, in January 2019, Governor Sununu formally requested that federal regulators establish a state-federal offshore wind Task Force that will follow a multi-year process that 15 other states have already initiated. Without this process, New Hampshire would only be able to develop offshore wind projects within three miles of the coast — the point at which state waters end and federal waters begin. In April, regulators established a regional Gulf of Maine task force to coordinate activities in Maine, Massachusetts, and New Hampshire.

What does this mean for people in the Northeast?

These massive commitments by the Northeast states along with others along the eastern seaboard will allow for this new, burgeoning industry to develop and offer opportunities for states to roll out their offshore procurements and construction in a coordinated way. Based on performance shown to this point, costs will continue to decline as the industry grows. For example, turbines are getting larger, producing more electricity and resulting in lower and lower prices per megawatt-hour.

Each state making these commitments will vie for the economic development and employment benefits that the offshore wind industry buildout promises, breathing new life into the numerous deep-water ports up and down the coast. Many of the region’s port communities have struggled through the decline of the industries that formerly drove their economies, but they are now poised to reap the benefits offshore wind can bring.

The buildout of offshore wind resources will also contribute significantly to the urgent push to decarbonize the way we generate electricity and power our buildings, industries and transportation systems. The destructive and dangerous impacts of the changing climate are upon us, and they disproportionately affect coastal communities and fisheries through sea-level rise and warming waters. Replacing old, dirty fossil fueled generation with offshore wind is an important step toward an electric grid that will support the clean electrification of our buildings and transportation sector.

In addition to reducing carbon emissions, offshore wind will reduce other harmful emissions related to burning fossil fuels. These emissions damage people’s lungs and hearts and take a serious economic toll on affected communities. Reducing such emissions has significant human health benefits especially for those living in economically disadvantaged communities where fossil-fueled plants are concentrated.

In the Northeast, offshore wind is poised to meet the region’s needs as older generating plants are retiring because of economic pressures, environmental standards, and aging equipment. Grid operators, market participants, and advocates like Acadia Center are looking for ways to shift how the grid operates as more and more renewable energy resources like offshore wind begin to produce electricity. Replacing some of these older retiring plants with offshore wind will bring other benefits in the form of lower wholesale electricity prices – reflected in the significant economic benefits realized in the MA and RI contracts. In addition, because offshore wind may deliver energy during peak winter conditions when dirty gas and oil-powered plants are currently paid to run, these new facilities will further bring down the price – and pollutants – from electricity generation.

Challenges

As offshore wind grows, the region will also face a range of challenges. Economically, the industry has benefited from the federal Investment Tax Credit, which is due to expire at the end of 2019. If allowed to expire, projects that go under contract after the end of this year may face up to 12% higher costs. Further, the construction and operation of many thousands of wind turbines and the needed transmission cables must appropriately address impacts on whales and other endangered species, birds, and a fishing industry already under significant pressure as a result of warming waters and overfishing. Advocates and decisionmakers must engage with local communities to address concerns around siting the landfall cables and other local impacts.

On the economic side, states and stakeholders should consider coordinating procurements to achieve an orderly build out of projects, allowing the industry to ramp up the supply chain and train a work force. States should look closely at whether each project should be connected to the shore individually or whether a central transmission back bone makes more economic and environmental sense.

What’s next?

Offshore wind is on a track to succeed in the Northeast, given the surge of state interest. However, the future success of this resource depends on its implementation, which must be accomplished on an aggressive schedule in order to reap the economic and environmental benefits. The projects must also proceed in ways that set a good precedent for the U.S. industry. Project selection, siting, and transmission must all be considered with an eye toward meeting fast-approaching climate deadlines and ensuring that labor, environmental, and economic justice issues are central to planning. Acadia Center will continue to work closely with the states, advocates, and other stakeholders on these issues, bringing its independent analytic, advocacy, and coalition-building expertise to ensure the successful deployment and continued expansion of offshore wind in the region.

Additional Resources

Press Release: CT House of Representatives Passes Pivotal Bill to Build 2000 MW of New Offshore Wind by 2030

Blog: A Regional Affair: Offshore Wind in Massachusetts Clears Hurdle in Rhode Island

Report: EnergyVision 2030 Electric Generation Brief