Another Later-Stage Development U.S. Offshore Wind Farm Shelved

Vineyard Wind, an affiliate of Copenhagen Infrastructure Partners, confirmed in a brief statement that it is shelving the proposed Vineyard Wind 2 project in response to Connecticut’s decision not to proceed in awarding wind projects after the recent New England tri-state solicitation. The project had been selected by Massachusetts and is in a later stage of permitting at the federal level.

“With Connecticut’s decision today (December 20) not to purchase the remaining 400 MW, we are unable to contract the project’s full 1200 MW at this time. We look forward to advancing this project and participating in future solicitations,” Vineyard Offshore wrote in its response.

Connecticut along with Massachusetts and Rhode Island launched the first multi-state coordinated solicitation earlier this year saying it was in response to the changing market conditions and challenges faced by offshore developers. They provided the opportunity for projects to bid either multi-state or individually. 

Massachusetts and Rhode Island announced in September that they had selected three projects with a total projected capacity of 2.9 GW. The two states will share SouthCoast Wind (which received federal approvals last week) while Massachusetts also selected New England Wind 1 with 791 MW of capacity. It also said it would take 800 MW from the 1,200 MW Vineyard Wind 1 project. It implied it would be sharing the project with another state.

Governor Ned Lamont and Connecticut’s regulators announced Friday that they were proceeding with solar power but decided not to take up any offshore wind in the current round. Lamont generally referenced cost considerations for power while saying the state was not ruling out offshore wind power in the future.

CIP won the lease area which is approximately 29 miles south of Nantucket in a 2018 lease auction. The project has advanced with its Construction draft and Operations Plan on file at the Bureau of Ocean Energy Management. In March 2024, BOEM included Vineyard Wind 2 in its announcement for an environmental impact statement to advance New England’s offshore wind projects. The hearings have been completed and BOEM is working on its report and the EIS. 

Vineyard Offshore CEO Alicia Barton said in September 2024, “We look forward to Connecticut’s forthcoming decision on the remainder of the procurement so that we can begin to deliver important economic and climate benefits to the region.”

Vineyard Offshore is in a joint venture partnership to develop Vineyard Wind 1, which is under construction. It holds the Vineyard Northeast lease off the coast of Massachusetts which is where the second project would be located, as well as Vineyard Mid-Atlantic which includes Excelsior Wind in the New York Bight. It also has a lease area off the coast of Humboldt County in Northern California.