RWE’s Ongoing Offshore Wind Triumph in the U.S.: Secures 1.3 GW Offtake Contract in New York

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New York State Governor Kathy Hochul announced the provisional award of a 1.3 GW offtake contract to RWE’s Community Offshore Wind, a joint venture with National Grid Ventures, as part of the State’s third offshore wind solicitation. This project is the initial phase of several within RWE’s 3.2 GW seabed lease in the New York Bight. The weighted average strike price for the award group is $145.07 per MWh, with potential adjustments. This first phase will power 500,000 U.S. households and reduce New York’s carbon emissions by up to 5%. It will interconnect into Brooklyn, delivering new offshore wind capacity and advancing climate goals, economic benefits, and workforce development in the state, generating $3.3 billion in economic benefits and creating over 800 jobs.

As part of the NYSERDA offtake award, Community Offshore Wind will significantly strengthen the local supply chain, pledging to procure New York-made blade and nacelles in collaboration with General Electric.

The project will also invest $41 million in economic development and workforce programs to foster disadvantaged communities, New York Minority and Women-Owned Business Enterprises (MWBE), and Service-Disabled Veteran-Owned Small Businesses (SDVOB). This includes a $10 million childcare financial assistance program in partnership with the United Way of New York State to support parents pursuing offshore wind careers.

Additionally, Community Offshore Wind will allocate $38 million for wildlife and fisheries research, mitigation, and enhancement. Additionally, the project has partnered with the National Oceanic and Atmospheric Administration (NOAA) on a groundbreaking Cooperative Research and Development Agreement.

Sven Utermöhlen, CEO RWE Offshore Wind: “RWE has reached a major milestone in securing its first offshore wind offtake award in the United States – a key market to achieve our renewables targets. As one of the leading offshore wind players globally, RWE has a strong, 20-year track record of developing, building, and operating offshore wind projects efficiently. We do this hand-in-hand with our communities to deliver lasting economic benefits, today and for the generations to come.”

Sam Eaton, CEO of RWE Offshore Wind Holdings, LLC: “The RWE team, in collaboration with our partners at National Grid Ventures, is grateful to Governor Hochul and NYSERDA for the opportunity to deliver one of the largest offshore wind projects in the U.S. while creating good-paying union jobs, localizing the offshore wind supply chain, and generating long-lasting economic benefits for disadvantaged communities. Today’s announcement solidifies New York’s position as a national leader in the energy transition with a sincere commitment to achieving its ambitious climate goals. We look forward to partnering with the State to deliver a world-class project.”