America's fast-growing offshore wind industry, which is projected to generate 18.6 GW of power in seven states on the Atlantic seaboard by 2030, presents a near US$70Bn revenue capex opportunity, analysis suggests.
In a white paper, the Special Initiative on Offshore Wind (SIOW) quantifies the extensive supply chain opportunities that US$70Bn worth of capex is creating as offshore windfarms are built between now and 2030, with quantification broken down by industry component, by state, and by year through 2030.
SIOW’s analysis offers a roadmap on the timing and pace of power and supply chain contracting prospects for US offshore wind power suppliers and vendors. The analysis also provides an overview for states looking to attract supply chain facilities and build necessary infrastructure for offshore wind industry development.
Key industry components required to achieve an almost US$70Bn utility-scale build-out of America's offshore wind power capacity by 2030 include more than 1,700 offshore wind turbines and towers (US$29.6Bn); more than 1,750 offshore turbine and substation foundations (US$16.2Bn); more than 8,000 km of upland, export and array cables (US$10.3Bn); more than 60 onshore and offshore substations (US$6.8Bn); and marine support, insurance and project management (US$5.3Bn). This makes a total by 2030 of US$68.2Bn.
The paper also provides forecasts of state offshore wind power procurements through 2030. Market visibility of growing state commitments is generating economies of scale and driving sustained industry momentum. These include: New Jersey 3.5 GW; New York 9.0 GW by 2035 (7.73 GW); Massachusetts 3.2 GW; Connecticut 2.0 GW; Rhode Island 1.0 GW; Maryland 1.2 GW; and Virginia 1.2 GW. This makes a total by 2030 of 18.642 GW.
Responding to the study, National Ocean Industries Association president Randall Luthi said, “NOIA has long advocated for all-of-the-above energy and new offshore energy growth in America. Our members look forward to participating in the massive opportunity presented by offshore wind.
“The report identifies significant opportunities for the supply chain that will build, supply and support the US offshore wind sector. By putting in clear terms the anticipated demand for foundations, towers, cable and services, America’s energy supply and service companies can begin planning to enter this growing market.”