or
Remember me
Back
Like all those suburban fro-yo shops that opened the summer of 2014, many planned offshore wind energy projects just aren’t as profitable as they used to be.
Orsted, the world’s largest offshore wind farm developer, announced this week that it’s pulling the plug on two big projects in New Jersey—which will leave the Biden administration’s clean energy ambitions wheezing. The Danish company said financing the operation became unsustainable due to higher interest rates and supply chain delays, forcing it to write off $4 billion.
Building a wind farm in the US is anything but breezy. Orsted CEO Mads Nipper told the NYT that while the renewable energy industry has also struggled in Europe, its problems are “more acute” in the US. In addition to the financing issues, public opposition and inadequate subsidies plague the industry.
And yet…yesterday, the federal government greenlit the Coastal Virginia Offshore Wind Project, which would be the largest offshore wind farm in the US. So, there’s still a chance offshore wind production can have its “we are so back” moment.—CC
A daily snapshot of everything from market open to close.