Contact: Jeff Tittel, NJ Sierra Club, 609-558-9100

Offshore Wind 7 Years Later, Christie Still Blocking Windmills

Tomorrow marks the 7th year anniversary of Governor Christie signing the Off-Shore Wind Economic Development Act (OWEDA), but the Administration has failed to make offshore wind a reality off our coast. Since the bill was signed into law, the Administration has repeatedly blocked efforts for offshore wind, which has cost our state jobs, renewable energy, and venture capital investments. The Christie Administration has failed to fully implement the OWEDA, to establish a funding mechanism for offshore wind, to jump start the manufacturing of wind turbines in our state, and to develop windmills off our coast. The Bureau of Ocean Energy Management (BOEM) even auctioned leases for offshore wind off our coast, but without financing rules the Christie Administration will block these projects from happening.

“Seven years ago, the Governor promised that we would have clean energy from wind, but we haven’t moved forward. This has cost New Jersey thousands of jobs and is hurting our economy. While BOEM has leased land off our coast and bidding it to offshore wind companies, nothing is happening because the Christie Administration is blocking it. By the time the financing rules and permits are in place, it may be another 3-4 years after the next Governor before we see offshore wind. Because of the Governor’s failed policies, there is a port sitting empty, a factory ready to be built, and companies willing to invest money. New Jersey has enough potential of offshore wind to meet 1/3 of our electrical needs, but our Governor rather side with polluters over our clean air,” said Jeff Tittel, Director of the New Jersey Sierra Club.  “It’s more important now than ever to steer our coastal development in the right direction. The Trump Administration wants to open the Atlantic for offshore oil exploration and drilling. We need to make sure that we are using our oceans for clean, renewable energy instead.”

There has been a legislative mandate to develop offshore wind farms for seven years now, yet the state government has been dragging their feet on getting it done. Now that the federal government is stepping in to make offshore wind a reality in New Jersey, it may not happen because we still need the financing. New Jersey now needs to work on funding mechanisms to make developing in these leases areas a possibility. When the Governor signed OWEDA in 2010, the BPU had until March 2011 to develop regulations to establish the Offshore Renewable Energy Credit (OREC) program, but they are still in the process five years later. Regulations have still not been released even in draft form. The BPU and consultants are still working on a funding mechanism for ORECs to ensure the money they generate is not diverted to the general fund for the state budget.  Such precautions are necessary to keep steady funding available for wind projects.  There was money available for offshore wind in the Regional Greenhouse Gas Initiative (RGGI), but Governor Christie pulled New Jersey out of the program.

“We have the wind and companies like Fisherman’s Energy that are ready to build, but all along the Christie Administration has failed to release the financing rules. The Christie Administration is running out of excuses. They said they didn’t need to release the rules until the federal government actioned off the land. Now that BOEM leased the land, where are the rules?” said Jeff Tittel. “With the federal government already leasing areas off our coast for offshore wind, it’s no longer a matter of if we will have offshore wind. Now it’s only a matter of time. Offshore wind off our coast could feasibly power 1.2 million homes with clean energy. Even though there will be leases off our coast, the wind companies may not be able to build their windmills until New Jersey puts in place their financing mechanism.”

Wind energy is renewable, clean, and thousands creates jobs. The East Coast, with its large metropolitan areas and dense suburbs is hungry for jobs, investment and energy. Offshore wind not only creates jobs in installing, operating, and maintaining wind turbines but the OWEDA also calls for investment in manufacturing wind turbines.  This would create jobs rebuilding the Paulsboro Port, building factories, manufacturing the steel for the turbines, and assembling and transporting the windmills.  Jobs would also be created building the substations and electric connections to serve the windmills. As we continue to rebuild our coast in the wake of multiple storm events we need to invest in clean, renewable energy sources that do not contribute to climate change.

“Leasing offshore wind areas off our coast is a great step forward, but nothing may even begin until we have the next Governor. There are billions of dollars in private investment waiting to come into New Jersey, as well as state tax credits just sitting there, because the Christie Administration has stopped offshore wind. Without issuing the financing, the Christie Administration is hurting our economy and preventing green jobs and clean energy from being a reality,” said Jeff Tittel. “Offshore wind would be a great way to jumpstart our coastal economy. With these delays we are losing jobs in the financial sector and venture capitalism for funding and investing in wind.”

While New Jersey was posed to be the first state in the nation for offshore wind, the Christie Administration blocked Fisherman’s Energy from moving forward five times. If we cannot even get this small project off the ground, how are we going to invest in bigger projects? While New Jersey has fallen behind with offshore wind, Rhode Island has already broken ground.

“Offshore wind is the most reliable and cost-effective form of offshore power and New Jersey needs to pursue policies to facilitate the construction of wind turbines off our coast. Now more than ever we desperately need clean renewable energy to deal with sea level rise and climate change before it’s too late,” said Jeff Tittel, Director of the New Jersey Sierra Club. “Without any financing rules, offshore wind is on hold in New Jersey. What is even worse is that companies may end up building off our coast, but send could the electricity to Long Island or Maryland. We could end up getting offshore wind but not getting the benefits. That is why Governor Christie must move forward on the offshore wind rules now; there are no more excuses!”