Record-breaking auction expands Massachusetts’ offshore wind potential
A highly-competitive auction for three offshore wind lease areas off the coast of Massachusetts concluded today with winning bids totaling a record-breaking $405 million dollars from Equinor; Mayflower Wind Energy, a joint venture between Royal Dutch Shell and EDP Renewables; and Vineyard Wind. Earlier this year, Massachusetts doubled its offshore wind goal to 3.2 GW by 2035 – one of the most ambitious offshore wind policies in the nation.
A total of 11 companies participated in the auction, including global leaders in offshore energy development and land-based wind developers, reflecting surging interest in America’s emerging offshore wind market.
Winning bids for all three of the Massachusetts lease areas far exceed the previous record bid for a single lease area, set by a $42.5 million bid from Equinor (then Statoil) in a 2016 New York lease auction.
Because these leases are in federal waters, winning bids and subsequent lease payments will provide a significant boost to federal revenue, according to the American Wind Energy Association (AWEA).