EBC Sixth Annual Offshore Wind Conference. Featuring Scope of Vineyard Wind and Ørsted Projects

Transcription

1 EBC Sixth Annual Offshore Wind Conference Featuring Scope of Vineyard Wind and Ørsted Projects

2 Welcome Daniel K. Moon President and Executive Director Environmental Business Council of New England Environmental Business Council of New England Energy Environment Economy

3 Welcome to WilmerHale Raya Treiser Counsel WilmerHale Environmental Business Council of New England Energy Environment Economy

4 Program Overview Purpose and What You Will Learn Michael Ernst Conference Chair & Moderator Executive Advisor Power Advisory LLC Environmental Business Council of New England Energy Environment Economy

5 EBC Sixth Annual Offshore Wind Conference: Offshore Wind Expansion & Mitigation of Impacts to Whales, Birds and Fishermen January 23, 2019 Michael D. Ernst, Esq. Executive Advisor (508) Power Advisory LLC All Rights Reserved.

6 Offshore Wind Expansion & Mitigation of Impacts to Whales, Birds and Fishermen Federal Wind Energy Lease Areas and Owners Atlantic Shores Offshore Wind Power Advisory LLC All Rights Reserved. 6

7 Offshore Wind Expansion & Mitigation of Impacts to Whales, Birds and Fishermen History of Carbon Regulation in New England History of Carbon Regulation in New England o Renewable Portfolio Standards o Regional Greenhouse Gas Initiative o MA Global Warming Solutions Act of 2008: 80% by 2050 MA SJC, DEP & EFSB Phasing Out Carbon Emissions under GWSA o CT Global Warming Solutions Act of 2008: 31% by 2030 Regional Clean Energy RFPs for Large Hydro & Wind o 2016 MA Selects 800 MW from Vineyard Wind o RI Selects 400 MW from Deepwater Wind o LIPA NY Selects 130 MW from Deepwater Wind o CT Selects 300 MW from Deepwater Wind State Offshore Wind Targets o MA: 1600 MW plus consideration by DOER of 1600 MW o NY: 9000 MW Power Advisory LLC All Rights Reserved. 7

8 Massachusetts Offshore Wind Energy Program Matthew Beaton Secretary Executive Office of Energy and Environmental Affairs Commonwealth of Massachusetts Environmental Business Council of New England Energy Environment Economy

9 Massachusetts Offshore Wind Initiatives Bruce Carlisle Senior Director, Offshore Wind Massachusetts Clean Energy Center Environmental Business Council of New England Energy Environment Economy

10 Massachusetts Offshore Wind Initiatives EBC Sixth Annual Offshore Wind Conference Bruce Carlisle Senior Director, Offshore Wind Division Massachusetts Clean Energy Center

11 Overview Status of offshore wind in Massachusetts and region - Leasing - Procurement MassCEC offshore wind initiatives - Planning, analysis and engagement - Sector development - Research, monitoring and evaluation

12 Offshore wind siting and leasing process in MA Bureau of Ocean Energy Management (BOEM) responsible for renewable energy development on OCS 2009: Formation of Intergovernmental Task Force to advise BOEM in the planning, siting, and analysis of offshore wind : Request for Interest; Call for Interest and Nominations : Identification of Wind Energy Areas 2013 and 2015: Competitive auctions / lease sales 2018: Competitive auction/lease sale

13 Request for Interest area Call for Interest and Nominations area Wind Energy Area

14 Offshore wind markets Massachusetts Legislation - Aug 2016 statute requiring utilities to solicit 1,600 MW of cost-effective offshore wind energy by Aug 2018 statute increasing procurement to 3,200 MW by 2035 pending DOER study Gov. Baker signing An Act to Promote Energy Diversity, 2016 Regional OSW Procurements - MA 1 st RFP selected Vineyard Wind 800 MW; 2 nd RFP by June RI selected Deepwater/Orsted 400 MW - CT selected Deepwater/Orsted 200 MW; increased to 300 MW - NY first RFP in Oct. 2018; bids due Feb. 14, 2019; awards in Spring 2019

15 MassCEC Offshore Wind Program Centers on industry engagement, studies, data collection and research to support the responsible development of offshore wind and lay the groundwork for local jobs and economic activity in offshore wind - Planning, Analysis and Engagement Technical projects and stakeholder engagement on fisheries, wildlife, wind/ocean conditions, and transmission - Sector Development In coordination with partner agencies, expand MAbased manufacturing and services and workforce training in offshore wind - Research, Monitoring and Evaluation Projects led by MA institutions, with industry and government, to advance technology innovation, learn from early deployments, and expand offshore energy research in Commonwealth

16 Offshore wind advisory groups To augment federal process, MA (EEA, DMF, CZM, MassCEC) convened two groups to engage stakeholders on fisheries and marine habitat issues: Fisheries Working Group on Offshore Wind Energy: commercial fishermen and reps from different ports and sectors, recreational fishermen, scientists, and state and federal agencies Habitat Working Group on Offshore Wind Energy: scientists and technical experts from environmental organizations, academia, and state and federal agencies

17 Fisheries Working Group Voluntary, informal working group to: - Maintain a dialogue with key stakeholders - Obtain input, feedback, and guidance - Work to address identified concerns ~20 representatives from diverse ports and fisheries, plus agencies and others Issues of focus include: - Reducing Call Areas and Wind Energy Areas - Transit through lease areas - Best practices for gear interactions/losses - Developing scientific research program - Identifying priority studies

18 Wildlife surveys Large whales and sea turtles - New England Aquarium - 7 year effort in partnership with BOEM - Aerial surveys and passive acoustic monitoring Marine birds - College of Staten Island - 3 year effort in partnership with BOEM - Aerial surveys Benthic surveys - UMass Dartmouth, SMAST

19 Met-ocean data measurement Purpose: Collect accurate publicly available hubheight wind resource data applicable to the wind energy areas Partnership w/ MassCEC, Woods Hole Oceanographic Institution, AWS Truepower Site at WHOI s Air-Sea Interaction Tower 2 miles south of Martha s Vineyard, 50 depth Data collection commenced Oct Year 1 Results (October 2017): - Measured avg. speed: m - Long term avg. speed: m - Annual average speeds m/s at 110m across the MA Wind Energy Area

20 Transmission 2014 study analyzing transmission infrastructure to connect offshore wind Project team ESS Group with Energy Initiative & Power Systems Consultants Feasibility and upgrades necessary to connect 500 to 3,000 MW at existing 345kv substations 2018 study by ISO-NE with AWS Truepower on impacts of offshore wind on power system during 16-day severe cold (12/24/17 to 1/8/18) 435,257MWhr at 70% capacity $80-85M savings production costs 11% of CO2 emissions

21 Infrastructure investments Wind Technology Testing Center Largest wind turbine blade testing facility in North America, located in Boston Charlestown. Full suite of certification tests for turbine blade sections. New Bedford Marine Commerce Terminal 29 acre heavy-lift facility designed to support staging and deployment of OSW projects and handle other marine cargo, located in New Bedford Harbor.

22 NB Marine Commerce Terminal commitments December 2017: MassCEC signed identical Option Agreements with each of the MA developers - Signed by Bay State Wind, Deepwater Wind, and Vineyard Wind - Developer can exercise the option only after MA 83C bid selected for negotiation with utilities September 2018: MassCEC and Vineyard Wind executed lease - $6 million/year - December 2020 May 2022 Terminal continues to host marine survey vessels, blade shipments, etc. Signing of Letter of Intent with OSW developers in September 2016

23 Ports and infrastructure assessment Identified need for additional locations for manufacturing and staging of foundations, TPs, and other turbine components, as well as O&M MassCEC study in 2017 to evaluate existing port and waterfront infrastructure as potential locations Project team: Apex, Ramboll, Tufts and UMass Boston with advisory panel 19 sites evaluated: - Engineering assessment - Redevelopment scenarios and reuse cases - Permitting, regulatory processes, and timelines - Limitations and conditions

24 Supply chain development Hosted supply chain forums connecting the OSW industry with MA manufacturers, service providers, suppliers and organizations in 2017 and 2018, next one in June 2019 OSW Supply Chain Directory inventory of business contact information and capabilities More than 400 companies Moving to an online portal in 2019 Supporting Vineyard Wind s Offshore Wind Industry Accelerator Fund

25 Offshore wind workforce 2018 study estimating job and economic impacts and workforce gap analysis Project team: Bristol Community College, UMass Dartmouth, Massachusetts Maritime Academy Deployment of 1,600 MW will generate: ~2,000 to 3,000 job years during construction ~140 to 255 O&M jobs over 25-year project life Recommendations Target priority occupations: water transportation workers, trade workers, and O&M workers Invest in courses and facilities to provide technicians with appropriate industry-recognized training

26 MassCEC 2018 Workforce Solicitation MassCEC grants for development and implementation of workforce training programs for offshore wind - $400,000 available in FY19; similar or greater in FY20 - Potential additional funding from Vineyard Wind Types of applications received (November 2018) - Career introduction courses high school, vocational schools, and college level - Basic safety training; basic technical/skills training skilled trades primary - Professional training certificates and degrees Coordinate with and compliment companyspecific technical training

27 MA Research Partnership in Offshore Wind Build Massachusetts as major national and international hub for offshore wind research Nine local institutions: Collaborating with agencies, institutions, and laboratories across the country Work Products: Convening sponsor for POWER-US: a national Partnership for Offshore Wind Energy Research Reaching Convergence in U.S. Offshore Wind Research: A Multidisciplinary Framework for Innovation (Sept. 2018)

28 Thank you!

29 Vineyard Wind, LLC Rachel Pachter Vice President, Permitting Environmental Business Council of New England Energy Environment Economy

30 P r o j e c t U p d a t e : E nv i r o n m e n t a l B u s i n e s s C o u n ci l B o s t o n, MA Ja nu a r y 2 3,

31 WHO ARE WE? Leading provider of renewable power in the United States Over 6,500 MW in 22 states Part of Iberdrola, the world leader in the renewable energy industry 30+ GW in operation 10 GW of offshore wind under development, construction, or operations Long-term, clean energy investment focus 6,000+ MW offshore development portfolio worldwide Extensive offshore wind experience Local non-profit partner Dedicated to community-oriented renewable energy Closely involved in development activities Guidance on local issues; local benefits January

32 HISTORY OF OFFSHORE WIND AREAS MULTI-YEAR, STAKEHOLDER PROCESS 2010: BOEM established, Task Force initiated Multi-Agency, Intergovernmental Extensive stakeholder meetings WIND AREA REDUCED THROUGH PUBLIC PROCESS 2010 Fisheries and Habitat working groups 2012: Environmental Assessment, Call for Information 2014: Lease Sale Notices 2015: Auction and Lease issuance: Vineyard Wind Awarded Lease : Auction and Lease issuance: Vineyard Wind Awarded Lease PROJECT OUTREACH 2009-Present: Fisheries, communities, environmental outreach on-going First Fisheries representative First Community Benefits Agreement: Vineyard Power January

33 PROJECT OVERVIEW Generation Capacity: 800 MW Enough energy for over 400,000 homes and businesses Carbon emissions avoidance equivalent to 325,000 cars off the road Turbine area: ~15 miles from Martha s Vineyard and Nantucket ~35 miles from Cape Cod at closest point 80 to 100 turbines Use of local ports: New Bedford: Construction, staging and deployment base Vineyard Haven: Operations and Management Electrical interconnection: Barnstable Switch Substation Host Community Agreement with Barnstable Enhances grid strength at weak area January

34 PERMITTING PROCESS Begun Complete Federal State ACOE EPA BOEM COP NEPA Scoping DEIS FEIS Record of Decision USCG NMFS FAA National Environmental Policy Act Endangered Species Act National Historic Preservation Act Migratory Bird Treaty Act Magnuson-Stevens Fishery Conservation Management Act Marine Mammal Protection Act Coastal Zone Management Act Clean Air Act MEPA Scoping DEIR SDEIR ENF MEPA Cert. DEIR Cert. FEIR Final MEPA Cert. CZM / CRMC State Permits (including): Chapter WQC Highway Railroad Cape Cod Commission & MV Commission EFSB Facilities Design Report & Fabrication Installation Report Town Conservation Commissions Town Road Opening January

35 SCHEDULE AND CONSTRUCTION On-shore construction scheduled start: 2019 Offshore construction scheduled start: 2020 Commercial operation: End of 2021 January

36 THANK YOU Rachel Pachter For the latest project information and document access please visit: January

37 Shell Exploration and Production Company; Mayflower Wind Energy, LLC Ruth Perry, Ph.D. Marine Science and Regulatory Policy Specialist Environmental Business Council of New England Energy Environment Economy

38 Mayflower Wind Energy, LLC Joint venture between EDP Offshore North America, LLC & Shell New Energies, LLC» Recently acquired BOEM OCS-0521 (~127,000 acres)» Lease can accommodate a project of around 1.6 GW» Venture is currently initiating formal development efforts to bring the wind farm into operation by mid- 2020s BEST FOR You O R G A N I C S C O M P A N Y

39 Ørsted US Offshore Wind Bay State Wind & Ocean Wind Farms Matthew Morrissey Head of New England Markets Ørsted Presentation not available. Environmental Business Council of New England Energy Environment Economy

40 Impact Mitigation & Stakeholders Panel Moderator: Michael Ernst, Power Advisory, LLC Panelists: Jack Clarke, Mass Audubon Catherine Bowes, National Wildlife Federation Anthony Sapienza, New Bedford Wind Energy Center Bruce Carlisle, MassCEC Rachel Pachter, Vineyard Wind Ruth Perry, Shell Exploration and Production Company Environmental Business Council of New England Energy Environment Economy

41 Impact Mitigation & Stakeholders Jack Clarke Director of Public Policy and Government Relations Mass Audubon Environmental Business Council of New England Energy Environment Economy

42 Impact Mitigation & Stakeholders Catherine Bowes Program Director, Offshore Wind Energy National Wildlife Federation Environmental Business Council of New England Energy Environment Economy

43

44 Why Offshore Wind Power? 1. A Critical Climate Change Solution: America s abundant offshore wind resource is a game-changer for transitioning to a clean energy economy 2. Available in close proximity to America s largest electricity markets currently facing significant coal & nuclear plant retirements 3. Energy production corresponds with peak electricity demand, offering an increasingly valuable & cost-competitive energy choice 4. Opportunity to create hundreds of thousands of jobs & spark massive economic development for coastal & inland communities 5. Offshore wind power can be developed responsibly with minimal impacts to coastal & marine wildlife

45 NWF s Goal: Responsible Offshore Wind Development Offshore wind power can and must be developed responsibly in a manner that: protects our valuable marine and coastal resources maximizes job creation and other economic benefits

46 Key Principles for Environmentally Responsible Offshore Wind Development Guided By Science & Comprehensive Input - All siting & permitting decisions informed by: best available data effective expert & stakeholder engagement current ocean planning efforts ongoing, comprehensive monitoring Mitigation Hierarchy Approach at All Stages of Development - Avoid, minimize, &/or offset impacts through: SITING/DESIGN: Avoid locating projects in sensitive, critical wildlife habitat areas (i.e. near shore areas, shoals, boulder reefs, etc.) CONSTRUCTION: Adjust timing & method of survey & construction activities to protect sensitive wildlife, with specific attention to highly endangered North Atlantic Right Whales OPERATIONS & MAINTENANCE: Lighting, vessel speeds DECOMMISSIONING: Ensure long-term planning for all project development sites

47 It Takes A Village to Advance Responsibly Developed Projects Federal Agencies NEPA review of all leasing decisions & development plan approvals Ongoing, robust stakeholder outreach & engagement Advance research (baseline, post-construction, cumulative impact analysis) State Governments Procurement process that prioritizes responsibly developed projects Technical Advisory Groups to inform decision making (ie: NYSERDA Environmental & Fishing Technical Working Group; MA Habitat & Fisheries Working Groups; RI Habitat & Fisheries Advisory Boards) Ongoing, robust stakeholder outreach & engagement Permitting reviews of cable routes & near/onshore infrastructure Advance research (baseline, post-construction, cumulative impact analysis) Industry Commitments to responsible development practices Ongoing, robust stakeholder outreach & engagement Advance research (baseline, postconstruction, cumulative impact analysis) NGOs & Other Stakeholders Engage! early & often, in all of the above

48 Success Stories: Working Collaboratively w/developers to Protect Right Whales Goal: Address threats to critically endangered North Atlantic Right Whale from offshore wind development (i.e. underwater noise and increased risk of ship strikes) Strategy: Active dialogue between all offshore wind leaseholders, environmental NGOs, and scientific experts to develop workable industry practices to minimize risks through site-specific mitigation strategies including: Seasonal and temporal restrictions on HRG surveys & pile-driving Vessel speed restrictions Noise-reduction technologies Comprehensive monitoring of protective exclusion zones Block Island Wind Farm Sets Strong Precedent for America s 1 st Offshore Wind Project Construction schedule adjusted to avoid time of high risk for Right Whales in the area Proactive step to remove a potential roadblock & secure environmental support

49 JOIN US! NWF is proud to stand with a growing, diverse coalition of environmental, business, labor, fishing & community leaders calling for the responsible development of America s offshore wind resources. Catherine Bowes National Wildlife Federation bowes@nwf.org OFFSHOREWIND.NWF.ORG

50 Impact Mitigation & Stakeholders Anthony Sapienza Board Chair New Bedford Wind Energy Center Environmental Business Council of New England Energy Environment Economy

51 Offshore Wind Expansion & Mitigation of Impacts to Whales, Birds and Fishermen Stakeholder Panel: Commercial Fishing Concerns 2017 AIS Commercial Vessel Transit Data Potential Vessel Transit Lanes (Yellow Lanes) Power Advisory LLC All Rights Reserved. 5 1

52 EBC Sixth Annual Offshore Wind Conference Featuring Scope of Vineyard Wind and Ørsted Projects