The Mercury News

‘Made in the U.S.A.’ turbines cloud offshore wind projects

- By Jim Efstathiou Jr.

With state officials eyeing $56 billion of wind farm projects off the American coastline, developers are worried the turbines will need to be stamped with a big “Made in the U.S.A.”

Each structure is enormous — almost half the height of the Empire State Building. Most all of them are constructe­d in Europe, at least for now. As states in the Northeast jump into wind power, they’re betting they can create their own windmill industry. It’ll be a costly but perhaps necessary move, especially as President Donald Trump pushes for more factory jobs and picks fights with those making parts abroad.

“There’s no way of hiding that every single state, be it here in the U.S. or be it countries in Europe, are insisting on everything sort of being local,” said Henrik Poulsen, chief executive officer of Orsted, the Danish company that is the world’s largest offshore-wind developer. “It is an equation that’s very difficult to solve without the whole technology becoming much more expensive.”

Initially, the cost of offshore wind farms will be 45 percent more than those built in Europe, partly because much of the equipment will have to be imported, according to Bloomberg New Energy Finance. The viability of any new projects will require long-term supply agreements that guarantee developers can sell their power at above-market rates, BNEF said.

Massachuse­tts, New York, New Jersey and Maryland have proposed offshore projects primarily to meet targets for reduced pollution from fossil-fuel power plants. The states are willing to offer incentives they hope will expand supplies of renewable electricit­y and help spur local job growth.

Newspapers in English

Newspapers from United States