“This report provides the background, current economic conditions and options for the Governor and state legislators to consider as Delaware charts its path forward in the development of a comprehensive offshore wind program,” said DNREC Secretary Shawn M. Garvin.
The report, Proposed Offshore Wind Procurement Strategy for Delaware, reviews changing conditions in the offshore wind industry, identifies key factors to consider in developing an offshore wind program, identifies key developments coming up in 2024 that will affect planning and offers recommendations on how to best structure an offshore wind procurement strategy to meet Delaware’s needs.
Among the recommendations included in the report:
- Delaware should proceed with legislation authorizing the procurement of offshore wind to serve Delaware, either as a standalone project or in partnership with other states.
- DNREC should prepare model legislation to establish a path forward on offshore wind procurement that best serves the needs of Delaware.
- DNREC should be the lead agency in developing an offshore wind procurement program.
- The procurement program should encompass as much flexibility (in terms of timing, scale, location and agreement structure) as possible to best adapt to changing industry conditions.
- The procurement program should be developed in consultation with all Delaware utilities, mindful of their differing governance structures and business practices.
- The procurement program should maximize long-term value and minimize ratepayer impacts.
- The procurement program should provide for economic development and workforce development without adding specifications that would drive up the cost.
- The procurement program should include possible partnerships with neighboring states on subjects including procurement, transmission and supply chain development to take advantage of economies of scale beyond those of Delaware’s buying capacity.
- The procurement program should be structured to promote the coordinated, cost-effective buildout of the transmission system on a regional scale.
- The procurement program should consider potential environmental and natural resource impacts and include ways to avoid, minimize, or mitigate these impacts in planning for offshore wind procurement.
- DNREC should update its analysis and adapt this strategy on an ongoing basis as more information becomes available.
DNREC also delivered the first Climate Action Plan Implementation Report to the Governor and state lawmakers. That report highlights how the state, in partnership with federal and local governments, fellow states, businesses, universities and communities is making rapid progress in Delaware’s efforts to reduce emissions and transition to clean energy sources.
The report builds on the recommendations of the Offshore Wind Working Group, continuing through the Special Initiative on Offshore Wind (SIOW) Report commissioned by DNREC and on the policy direction set by the Delaware’s Climate Solutions Act. It represents the most recent step in Delaware’s ongoing effort to develop an offshore wind strategy that fits the state’s policy needs and objectives.
