Guest ROTFLMFAO by David Middleton
From the too fracking funny files…
Trump admin throws wrench into offshore wind plans
Benjamin Storrow, E&E News reporter Climatewire: Monday, August 12, 2019
The Trump administration is ordering a sweeping environmental review of the burgeoning offshore wind industry, a move that threatens to derail the nation’s first major project and raises a host of questions for future developments.
The Bureau of Ocean Energy Management, a division of the Interior Department, is ordering a study of the cumulative impact of a string of projects along the East Coast. The review comes in response to concerns from fishermen about the impact of offshore wind development on East Coast fisheries.
The analysis throws Vineyard Wind’s future into doubt. The developer, a partnership of Avangrid Inc. and Copenhagen Infrastructure Partners, warned it would be difficult to proceed if BOEM delayed its environmental analysis beyond the summer. But Vineyard Wind officials sought to strike an upbeat tone after BOEM’s supplemental EIS was announced Friday.
They called the decision “a surprise and disappointment” but insisted the project “remains viable and continues to move forward” (E&E News PM, Aug. 9).
Vineyard Wind’s problems are several, according to industry analysts and those familiar with the project (Climatewire, Aug. 7). First and foremost is the availability of the investment tax credit, a federal subsidy available to wind projects. The project had anticipated taking a 24% tax credit on $2.8 billion in capital costs. That enabled the company to sign a contract with three Massachusetts utilities at a price far lower than what analysts had initially expected.
But the tax credit expires at the end of the year. While the project could still qualify for an exemption because of the permitting challenges it has faced, the logistics associated with building America’s first major offshore project makes that more complicated.
Vineyard Wind, welcome to our world…
If you can’t handle permitting challenges and you’re dependent on subsidies, you have no business trying to build things in the ocean.