Wind Turbine Developers Are Threatening Our Delaware and Maryland Beaches

What projects have been approved?

The Maryland Public Service Commission (PSC) approved two wind turbine projects to be built off the Maryland and Delaware coasts, allowing the installation of 2074 MW of electrical capacity. The total cost of the two projects may be $12.5 billion. The first is U.S. Wind, a subsidiary of the Italian wind turbine manufacturer Renexia. This Italian-based company is planning to install 121 turbines as close as 13 nautical miles from our shore with a capacity of 1108 MW. U.S. Wind has discussed installing as many as 187 wind turbines in three phases.  The second is the Danish company Ørsted’s Skipjack Project.  This project will include 81 wind turbines as close as 13 to 17 miles from shore with a capacity of 966 MW. It is believed that both companies plan to construct 12-14 MW wind towers that are at least 853-953 feet tall.

The Ocean City Government strongly opposes the wind turbines location

The Ocean City Mayor and City Council have openly supported clean energy, including offshore wind.  However, they have also expressed serious concerns that creating a visible industrial landscape on the ocean horizon will harm the beach economy by reducing property values, rental income, tax receipts, and tourism. "We support whatever can be done to mitigate this situation," said Ocean City Mayor Richard Meehan. "But the bottom line is we just don't want citizens, the visitors, the residents, and our 26,000 non-resident property owners to be looking at the industrial view when we're on the beach in Ocean City." Ocean City Mayor Richard Meehan and the Ocean City Council unanimously support the requirement that offshore wind energy turbines be built at least 26 miles off the coast of Ocean City. At this distance, the turbines would be less visible. To learn more about Mayor Meehan's concerns, watch this interview.

Wind energy will increase the price of energy

Area residents and businesses will pay an additional $938,000,000 in increased electrical rates annually during the 20 year life of the project. That is $18.8 billion less purchasing power. The wind power operators will be paid approximately 13.1 cents for each kWh they produce, which is nearly 400 percent more than the 3.5 cents per kWh that residents in the PJM grid now pay for the wholesale price of power produced.

Ørsted has won the 1108 MW Ocean Wind 1 project in New Jersey and the 846 MW Skipjack 2 project in Maryland.  Both have similar first year prices for Offshore Wind Renewable Energy Credits (ORECs) that represent the premium price of power for electric customers and both use similar wind turbines.  The similarity stops there.  Ocean Wind has an annual OREC price escalator of 2% a year while the Skipjack escalator is 3%, and the Ocean Wind OREC price will be reduced by the value of revenue sold into the regional grid while Ørsted will keep that revenue for the Skipjack project.  Consequently, the average net OREC price for Ocean wind will be about $63/MWh, about half the Skipjack project meaning Maryland electric customers will overpay by about $216 million a year, or $4.3 billion over the 20 year contract period.  Great negotiating Maryland Public Service Commission!

There is no regional environmental benefit

The Maryland Public Service Commission hired a consultant to determine the air quality benefit of both projects. The consultant's report found there would be no regional air quality benefit. Regional CO2, NOX, and SO2 emissions would actually increase because power generated by the wind turbines would mostly displace energy generated by clean natural gas-fired power plants. The Consultant Report concluded the offshore projects would simply replace onshore wind projects which cost about one-fifth as much. According to the EPA, air quality in the United States is improving rapidly. The six common air pollutants declined a total of 73 percent from 1980 to 2017.