July 3, 2023 — A bill to let Danish offshore wind energy developer Orsted keep tax credits that it otherwise would have to return to New Jersey ratepayers was approved by the slimmest of margins in the state Legislature Friday afternoon and went to the desk of Gov. Phil Murphy, a strong supporter of offshore wind farms.
The bill to allow Orsted to keep federal tax credits was designed to help counter what lawmakers termed lingering economic effects on the developer from the COVID-19 pandemic and elevated inflation.
It applies to Orsted’s first project in New Jersey, Ocean Wind I, which aims to generate enough electricity to power 500,000 homes.
The New Jersey legislation highlighted a sharp partisan divide over offshore wind projects, with Republicans mostly opposing them as harmful to the environment, marine life and the fishing and tourism industries, and Democrats supporting them as crucial to moving away from the burning of fossil fuels that is contributing to a warming climate.