Port of Virginia, Dominion Energy Reach Deal to Propel Offshore Wind Industry

August 26, 2021 by Dan McCue
Port of Virginia, Dominion Energy Reach Deal to Propel Offshore Wind Industry
The Portsmouth Marine Terminal in VIrginia.

RICHMOND, Va. – The Port of Virginia says it will lease a portion of its Portsmouth Marine Terminal to Dominion Energy in a bid to accelerate construction of the largest commercial offshore wind farm in the United States, and ensure the commonwealth benefits from the resulting on-shore economic development and jobs.

Under the agreement, Dominion Energy will use 72 acres of the deep-water, multi-use marine cargo Portsmouth Marine Terminal as a staging and pre-assembly area for the foundations and turbines that will be installed 27 miles off the coast of Virginia Beach. 

The Virginia wind project will produce more than 2,600 megawatts of clean, renewable energy–enough to power up to 660,000 homes.

“This announcement is yet another milestone toward making Virginia the national leader in offshore wind power,” said Gov. Ralph Northam in a written statement. 

“The Commonwealth and Dominion Energy are standing together to promote clean energy, reduce carbon emissions, create jobs, and build a new American industry on the East Coast of the United States,” he said.

Robert Blue, president and CEO of Dominion Energy described the port’s location as “second to none,” having “deep water access, no overhead restrictions, a strong, experienced maritime workforce and sufficient space for these large wind infrastructure components. 

“It is perfectly situated to serve the Virginia offshore wind project and grow the domestic supply chain needed to complete other offshore wind projects in the United States,” he said.

Northam and Blue announced the lease agreement at the Business Network for Offshore Wind’s International Partnering Forum, a three-day global conference being held at the Greater Richmond Convention Center. 

It is the largest offshore wind conference in the Western Hemisphere. More than 1,300 people are participating in person, and another 1,000 online.

The lease term is 10 years–valued at nearly $4.4 million annually–and includes an option for two five-year renewals. The lease agreement includes significant upgrades to ensure the terminal can handle the weight of the large components that will be deployed to build the offshore wind turbines. Once the components are loaded onto ships, the vessels will travel to the construction site 27 miles off the coast of Virginia Beach.

The agreement comes just 18 months after Northam signed into law the Virginia Clean Economy Act, committing the state to clean and renewable energy. The law sets a target of 2034 for producing at least 5,200 megawatts of energy through offshore wind, and a target of 2045 for achieving 100% carbon-free energy production.

Negotiations accelerated in July, when the Virginia Port Authority Board of Commissioners directed Stephen A. Edwards, CEO and executive director of the VPA, to finalize the lease negotiation.

“For the last several years it has been known that The Port of Virginia, and specifically the Portsmouth Marine Terminal, is positioned to be the leading Mid-Atlantic logistics hub for the offshore wind industry,” Edwards said. 

“This agreement capitalizes on PMT’s potential and solidifies Virginia’s place as the leader in this growing and competitive field. This port is ready to support Dominion Energy and all of the businesses and jobs that will ensure the success of offshore wind in Virginia,” Edwards added.

Dominion Energy’s two-turbine pilot project is operating off the coast of Virginia Beach. Last month, the Bureau of Ocean Energy Management issued a “Notice of Intent” for the full commercial project. 

The Notice of Intent triggers a federal review of the project and preparation of an Environmental Impact Statement, which will take about two years.

The Biden administration has set a target of developing 30 gigawatts of offshore wind capacity by 2030.


A+
a-
  • Dominion Energy
  • Portsmouth Marine Terminal
  • Virginia
  • wind energy
  • In The News

    Health

    Voting

    Energy

    September 25, 2023
    by Dan McCue
    Oneok Completes Purchase of Petroleum Pipeline Firm

    TULSA, Okla. — In a sign of the changing respective times for the oil and gas sectors in North America, Oneok,... Read More

    TULSA, Okla. — In a sign of the changing respective times for the oil and gas sectors in North America, Oneok, Inc., a major player in natural gas, on Monday completed its purchase of Magellan Midstream Partners, a company with access to nearly 50% of the nation’s... Read More

    September 25, 2023
    by Dan McCue
    Appeals Court Rejects Bid for Stay of ‘Good Neighbor’ Pollution Plan

    WASHINGTON — The U.S. Court of Appeals for the D.C. Circuit on Monday rejected an attempt by the state of... Read More

    WASHINGTON — The U.S. Court of Appeals for the D.C. Circuit on Monday rejected an attempt by the state of Utah to block the Environmental Protection Agency from enforcing a plan to protect downwind states from smog that blows from power plants within its borders. The... Read More

    September 25, 2023
    by Dan McCue
    Court Says Gulf Oil and Gas Lease Sale Must Proceed Without Restrictions

    LAKE CHARLES, La. — A federal judge has ordered the Interior Department to proceed with a pending oil and gas... Read More

    LAKE CHARLES, La. — A federal judge has ordered the Interior Department to proceed with a pending oil and gas lease sale in the Gulf of Mexico without last-minute restrictions added to protect an endangered species of whale. U.S. District Judge James David Cain Jr., issued... Read More

    September 18, 2023
    by Dan McCue
    Electric Air Taxi Manufacturing Plant Headed to Ohio

    DAYTON, Ohio — Joby Aviation, Inc., a major player in the emerging electric aircraft sector, announced Monday it will invest... Read More

    DAYTON, Ohio — Joby Aviation, Inc., a major player in the emerging electric aircraft sector, announced Monday it will invest up to $500 million to build a first-of-its-kind manufacturing plant near Dayton International Airport. The new plant will build, test and fly all-electric, vertical take-off and... Read More

    September 18, 2023
    by Dan McCue
    California Sues Oil and Gas Giants Over Climate Change Claims

    OAKLAND, Calif. — California is suing five of the largest oil and gas companies in the world for allegedly engaging... Read More

    OAKLAND, Calif. — California is suing five of the largest oil and gas companies in the world for allegedly engaging in a decadeslong campaign of deception related to climate change and doing nothing as the state endured the growing problems related to a warming planet. The... Read More

    September 15, 2023
    by Dan McCue
    Four Local Governments Nab $15K for Adopting Solar Permitting App

    WASHINGTON — Four local governments will each receive a cash prize of $15,000 for their successful adoption of an online... Read More

    WASHINGTON — Four local governments will each receive a cash prize of $15,000 for their successful adoption of an online platform that instantly issues permits for code-compliant residential rooftop solar systems. The four governments — Oro Valley, Arizona; Fremont, California; Tiffin, Iowa; and the city and... Read More

    News From The Well
    scroll top