NJSPL – Key Insights from Early Offshore Wind Implementation

By Jessica Parineet

Offshore wind development is in its early stages in the United States, with just under one gigawatt (GW) of utility scale capacity constructed. State decarbonization goals have catalyzed industry progress thus far, however the Biden administration has increased federal support, including a national goal to deploy 30 GW by 2030. The Inflation Reduction Act passed in 2022 is the first federal legislation subsidizing offshore wind, primarily through an investment tax credit that covers up to 40% of costs. Analysis of the offshore wind landscape in the United States can provide useful context for decisionmakers as New Jersey pursues its goal of 11,000 megawatts (MW) by 2040.