February 7, 2024 — Stung by news that one of the two companies that was planning to install wind energy turbines off the coast of Ocean City is reassessing its projects, House leaders are drafting legislation designed to shore up the state’s offshore wind industry.
House Economic Matters Chair C.T. Wilson (D-Charles) and Vice Chair Brian M. Crosby (D-St. Mary’s) will introduce a bill later this week to buttress USWind, the one company fully committed to building wind installations in federal waters near Maryland, and encourage more players to enter the marketplace.
“If you want to be a good partner and move in the direction that Maryland wants to move in, we want to help,” Wilson said in an interview Tuesday.
The state has ambitious goals to generate 8.5 gigawatts of electricity, enough to power almost 3 million homes, from offshore wind sources by 2031. But late last month, Ørsted, one of two companies that had won leases to build wind farms off the coast, announced it was “repositioning” its plans, pulling out of its agreement with the state and seeking alternative financing.
Although Ørsted is the biggest developer of offshore wind in the world, and was an early entrant into the still developing U.S. market, some of its American projects have struggled of late, due in part to inflation and worldwide supply chain issues for the industry. Last fall, the company abandoned two proposed developments off the New Jersey coast altogether.
That was a warning signal to Wilson, whose committee moved complicated legislation last year to expand the offshore wind industry in Maryland.
“We saw the writing on the wall when Ørsted pulled out of the New Jersey projects,” he said.