The development of the 2.4-GW SouthCoast Wind project offshore Massachusetts has reportedly been delayed by Ocean Winds, the joint venture behind the project.
The delay could be for up to four years, according to reports in the Cape Cod Times and other online sources. The delay is due to growing uncertainties surrounding federal offshore wind policies, the reports said.
Ocean Winds, a joint venture formed by EDP Renewables and Engie, reportedly said that its decision could delay the project’s anticipated operational start from 2030 to 2034.
Ocean Winds also said that it would be writing down the project’s value by $278 million to reflect the financial impact of this delay. The company explained that this adjustment is meant to account for the anticipated loss in revenue resulting from the postponement of power production.
The project has received its needed approvals. In one of its final acts, the Biden administration approved the construction plan for the wind farm on January 18, 2025.
Construction on the wind farm was expected to begin this year, but the new timetable does not anticipate starting construction until 2029. The wind farm is expected to be located 30 miles south of Martha’s Vineyard and 20 miles south of Nantucket.
The company reportedly told analysts that it does not intend to abandon the project, but added that the delay was the “prudent approach given recent executive orders and permit reviews.”
Ocean Winds is said to be actively negotiating power purchase agreements with utilities in Massachusetts and Rhode Island.
