December 23, 2022 — Developers of the 1,223-megawatt Commonwealth Wind offshore wind project are asking Massachusetts energy regulators to cancel their review of power purchase agreements, saying the contracts and changing world economic conditions make the project no longer viable.
Developers Avangrid have cited the war in Ukraine, interest rates, supply chain constraints, and persistent inflation – plus the escalating cost of wind turbines – for upending their cost projections and ability to finance the project.
Since Avangrid made its initial requests to renegotiate, electric power distributors Eversource Energy, National Grid and Unitil have refused to budge. Avangrid submitted its request to cancel the power contracts review Dec. 16, and said it plans to resubmit a bid into the Massachusetts power solicitation process in April 2023.