Applications Close for New York’s Third Competitive OSW Solicitation to Procure Enough Clean Energy to Power at Least 1.5 Million Homes
As a Leader in Clean Energy Policy, New York State and NYC are Emerging as a National Hub for the OSW Industry
As submissions for New York State Energy Research and Development Authority’s (NYSERDA) third competitive offshore wind (OSW) solicitation close, New York City Economic Development Corporation (NYCEDC) applauds Governor Kathy Hochul, NYSERDA, and Mayor Eric Adams on their leadership and determination to establish New York as the nation’s primary hub of OSW—an industry that will play a pivotal role in achieving New York’s ambitious climate goals and creating new economic opportunities for all New Yorkers.
On January 26th, 2023, applications closed for the third competitive solicitation (also known as NY3) which aims to procure at least 2,000 additional megawatts of OSW for New Yorkers. The Request for Proposals (RFP) included several provisions to advance clean energy development including stakeholder engagement, job creation and inclusive workforce development. Six bidders submitted proposals for the third procurement with solicitation awards to one or more offshore wind developers that will be announced next Spring.
“New York continues to lead with equity and innovation while establishing itself as the nation’s primary hub for offshore wind – an industry that will play a pivotal role in achieving our ambitious climate goals while creating economic opportunities in neighborhoods across the five boroughs,” said NYCEDC President and CEO Andrew Kimball. “We applaud all the offshore wind solicitation applicants that aim to further solidify a just transition and build a new electric grid powered by clean, renewable energy while creating job opportunities for all New Yorkers. We look forward to continuing to work with Governor Hochul, NYSERDA and Mayor Adams on building a more inclusive and greener future.”
The conclusion of NY3 builds on the offshore wind momentum to date in New York City Harbor. In September 2021, the City and NYCEDC unveiled a 15-year, $191 million OSW vision plan to make New York a leading destination for the industry. Last March, Mayor Adams announced an agreement to transform the city-owned South Brooklyn Marine Terminal (SBMT) into one of the largest offshore wind port facilities in the nation.
City owned waterfront sites and infrastructure ranging from South Brooklyn Marine Terminal to the recently announced Rossville site in Staten Island are being prepared to serve offshore wind industry needs. These City efforts when combined with significant private sector investments ranging from Arthur Kill Terminal to the Staten Island Marine Terminal and all the way up the East River to the Ravenswood Generating Station in Astoria, Queens, represent a generational reinvestment in NYC’s working waterfront that will leverage the City’s expertise and existent waterways infrastructure to bring renewable energy to the grid.
“After years of meaningful, local engagement in New York State, Attentive Energy is thrilled to have submitted a transformative proposal to NYSERDA’s third offshore wind solicitation. The proposed project will further cement New York as an offshore wind hub and strengthen the localization of a supply chain and workforce. Our team looks forward to a continued partnership with the NYCEDC to further this generational opportunity and create new initiatives that will advance environmental justice efforts statewide,” said Damian Bednarz, Managing Director, Attentive Energy.
“Leading Light Wind’s planned investment in renewable energy at the Navy Yard is an investment in good jobs, the green economy, and the city’s future,” said Lindsay Greene, President and CEO of the Brooklyn Navy Yard Development Corporation. “Our role extends beyond simply providing space – our employment center will take the lead on recruiting from nearby NYCHA developments and surrounding communities, and spearhead skills development to equip applicants with the training they need to be successful in these roles. As a major hub for innovation and workforce development, we know this partnership with our colleagues across City government represents a unique opportunity to help advance our citywide climate goals while also supporting the type of equitable development that lifts up all New Yorkers.”
“Leading Light Wind, the only American-led offshore wind project in the New York Bight, is thrilled to partner with the City of New York and NYCEDC to achieve the state’s climate goals and create equitable economic opportunity for all New Yorkers,” said Wes Jacobs, Project Director for Leading Light Wind. “We’re creating an offshore wind innovation and operations base at the historic Brooklyn Navy Yard that will create next-generation jobs and leverage workforce training programs at the Yard’s Albert C. Wiltshire Employment Center. We’re also grateful to partner with NYCEDC on their Waterfront Pathways Program and the establishment of the “Lift All Boats” Fund. Offshore wind represents the future of this city and this nation, and our New York-based team is committed to this sector’s growth right here in New York City.”
“Equinor and bp are eager to build on the significant experience gained through our work in New York over the past five years to bring more offshore wind energy to the state. The commitments and opportunities that we have outlined in the bid submitted for Beacon Wind 2 are informed by our team’s ongoing efforts working together with communities. The transformation of the South Brooklyn Marine Terminal and the development of our offshore wind hub in Sunset Park are tangible examples of how we are developing offshore wind and creating renewable energy career opportunities for New Yorkers. Developing Empire Wind 1 and 2 and Beacon Wind 1 has given us a deep understanding of this emerging industry and allows us to invest in New York where it matters most,” said Molly Morris, President, Equinor Wind US.
“As the state’s trusted partner, we are proud to answer New York’s call for more clean, renewable offshore wind energy and today submitted a proposal that would create significant jobs, deliver local economic investment, provide meaningful workforce development solutions, and advance the movement toward greater environmental justice across the Empire State,” said Joe Nolan, Chairman, President and CEO of Eversource Energy. Ørsted and Eversource jointly submitted a proposal for a new offshore wind project, Sunrise Wind 2. “Today’s proposal builds on the incredible work we are already doing in New York including building the state’s first offshore wind farm and harnesses the unmatched combination of our onshore, regional transmission expertise together with Ørsted’s considerable offshore capabilities. Together, we stand ready to deliver a better, cleaner future that all New Yorkers will be proud of.”
“We’re committed to developing projects that will create good-paying jobs, build up local communities, and generate clean, affordable energy to fight climate change,” said David Hardy, Group EVP and CEO Americas at Ørsted. “We’re confident this new proposal offers statewide, comprehensive offshore wind solutions and integrated clean energy innovation for New York, a state where we already have two advanced projects and have invested in supply chain development, workforce training and O&M capabilities. This solicitation further demonstrates New York’s leadership in offshore wind energy, and we look forward to the opportunity to build upon our strong track record here.”
“Community Offshore Wind has strong New York roots and is dedicated to helping the state reach its clean energy goals, while providing significant economic benefits and jobs. Our proposal has been carefully crafted by a team with decades of experience delivering energy safely, reliably and efficiently to millions of New Yorkers. Benefits in the proposal include supporting parents who will work in and train for offshore wind careers with $10 million in childcare services in partnership with United Way, investing in a Staten Island port facility for staging and assembly of wind turbines, and creating good-paying jobs, prioritizing those from disadvantaged communities, local companies, and union workforce. Community Offshore Wind knows New York and we believe we are submitting a bid that will have widespread benefits across the state and New York City,” said Will Hazelip, President of National Grid Ventures, US Northeast.
“Building on the success of SBMT and the goals set forth by NYS and NYC, the team at Red Hook Terminals in partnership with property owners Northpoint Development have proposed building a second 60-acre OSW marshalling port to serve the needs of New York’s climate goals under the NY3 solicitation,” said David Rickard, Vice President of Development for NorthPoint Development. “The transformation of this former major oil storage facility into a second OSW and clean energy hub in Staten Island will help ensure the port infrastructure needed to support the industry is realized.”
“Rise is thrilled to propose a first-of-its-kind fossil repurposing plan for Ravenswood Generating Station in Queens, as well as a NYC-based operations & maintenance facility that leverages our existing working waterfront,” said Clint Plummer, CEO of Rise Light & Power.“Redeveloping existing energy infrastructure, consistent with our Renewable Ravenswood vision, is a win for environmental justice, our union workforce, and ratepayers. We applaud Governor Hochul and Mayor Adams for their efforts to create a just transition to clean energy and look forward to delivering a project all New Yorkers can be proud of.”
“Sustainable South Brooklyn Marine Terminal, LP, (SSBMT) a partnership between Red Hook Terminals and Industry City, congratulates Governor Hochul and NYSERDA on the continued advancement of New York States nation leading commitment to Offshore Wind and transition to clean energy with the active NY3 solicitation,” said Michael Stamatis, Managing Partner for SSBMT. LP. and CEO of Red Hook Terminals. “We are proud to be partners with Equinor and NYCEDC on the development of the South Brooklyn Marine Terminal as an offshore wind hub in Sunset Park and thank Mayor Adams for his continued leadership in advancing New York City as the premiere location for the offshore wind industry’s development.”
“Our Liberty and Excelsior Wind proposals really raise the bar as to what’s possible in these solicitations, with more than $15 billion in proposed economic benefit, much of it directed towards disadvantaged communities, in addition to the creation of thousands of jobs,” said Vineyard Offshore CEO Lars T. Pedersen. “We can’t wait to bring our industry leading experience to New York, and help Governor Hochul and Mayor Adams turn their offshore wind aspirations into reality.”
Last January, Governor Hochul pledged to invest $500 million in ports, manufacturing, and supply chain infrastructure needed to advance its offshore wind industry. The highly anticipated third solicitation includes the first phase of the nation-leading investment.
New York currently has the largest offshore wind pipeline in the nation with five OSW projects currently active. This latest procurement expands New York’s existing approximately 4,300-megawatt OSW portfolio.
New York City is playing a critical role in creating a nation-leading OSW hub by transforming existing infrastructure to create wind manufacturing turbines, investing in education pipelines for these jobs, and creating job programs that identify and train talent from historically underrepresented areas to ensure all New Yorkers can benefit from green opportunities.
Currently, five offshore wind projects are in active development, three of which will be constructed out of SBMT. These three projects being implemented by Equinor will provide power directly into the NYC power grid. To date, the five awarded projects will power more than 2.4 million New York’s homes and bring a combined economic impact of $12.1 billion to the state.
Last December, NYCEDC awarded a conditional designation as developer to NorthPoint Development with the goal to transform a Rossville Municipal Site, a 33-acre city owned waterfront industrial property in Staten Island into a state-of-the-art OSW port facility for manufacturing and assembling wind turbine components. NorthPoint is planning to combine the Rossville site with 70-acres of adjacent property where two legacy liquified natural gas tanks have marked the Staten Island skyline for the past 50 years. Additionally, the College of Staten Island will be the recipient of $566,000 of state funding to help train the next generation of professionals for offshore wind careers.
Mayor Adams also pledged $10 million to the City University of New York (CUNY) for capital costs associated with workforce development programs across associated campuses. Last September, CUNY and NYCEDC announced six CUNY colleges that are initial recipients of $3.98 million in City funding to help train the next generation of professionals for climate-smart careers.
These efforts are critical to the OSW priorities and investments of both New York City and New York State. The City expects these initiatives to remove more than 34 million tons of carbon dioxide (CO2) from the environment — the equivalent of removing nearly 500,000 cars from roadways for 15 years — while creating 13,000 jobs related to offshore wind infrastructure across the five boroughs through NYC sites and infrastructure supporting the construction of 12 GW of OSW energy.
Development of renewable energy resources has tremendous benefits for the environment and is a critical component of New York’s fight against climate change. By replacing traditional energy generators that burn fossil fuels, offshore wind farms reduce the amount of greenhouse gas emissions released into the atmosphere.
New York City Economic Development Corporation is a mission-driven, nonprofit organization that creates shared prosperity across New York City by strengthening neighborhoods and creating good jobs. We work with and for communities to bring emerging industries to New York City; develop spaces and facilities for businesses; empower New Yorkers through training and skill-building; and invest in sustainable and innovative projects that make the city a great place to live and work. To learn more about what we do, visit us on Facebook, Twitter, LinkedIn, and Instagram.
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