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Tuesday, 1 February 2022

(OIL) US ANNOUNCES OFFSHORE WIND LEASE SALE

What a difference a year or two can make. Two years ago, the Trump administration extended the existing moratorium on oil drilling on parts off the East Coast along Florida's, Georgia's, and South Carolina's coasts to wind farm development, leading to serious uncertainties around the federal offshore wind permitting process. 

Previously, Trump had gone on a bizarre tirade, essentially labeling wind turbines as the biggest bird slayers, so his stance on wind energy might not have come as a complete surprise.

But offshore wind has now come full circle, with the Biden administration ready to lend its full support.

Two weeks ago, the Biden administration outlined a range of clean energy initiatives, key among them plans to hold the largest-ever sale of offshore wind leases in U.S. history and accelerate the deployment of new power lines to transmit renewable electricity across the country.

The centerpiece of the announcement is the planned sale of six commercial leases in the New York Bight between Long Island and New Jersey in February, which are projected to eventually generate as much as 7 GW of electricity. Also, the Department of Energy is launching a Building a Better Grid initiative that will tap billions of dollars in funding from the $1T infrastructure law passed in November to finance new lines and grid upgrades.

The announcement is aligned with Biden's pledge to take an "all-of-government" approach to fighting global warming and decarbonizing the U.S. electricity grid by 2035, with the White House declaring it's "continuing to pursue this agenda every way we know how." Oilprice.com - link - Alex Kimani - link - more like this (USA) - link - more like this - link

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