Orsted scraps 2 offshore wind power projects in New Jersey, citing supply chain issues

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Orsted scraps 2 offshore wind power projects in New Jersey, citing supply chain issues
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Danish energy developer Orsted is scrapping two large offshore wind power projects off the coast of New Jersey, adding uncertainty to a nascent industry the Biden administration is counting on to help transition away from the burning of planet-warming fossil fuels.

Land-based wind turbines turn in Atlantic City, N.J. on July 20, 2023. On Oct. 2, 2023, New York based Attentive Energy said it plans to build a wind energy farm 42 miles off the coast of Seaside Heights, N.J., the farthest offshore of the seven wind projects publicly proposed for New Jersey and among the farthest offshore on the U.S. East Coast.

“However, the significant adverse developments from supply chain challenges, leading to delays in the project schedule, and rising interest rates have led us to this decision,” Nipper said. Orsted, the world's largest wind energy developer, warned in August that it might walk away from one or both of its New Jersey projects, which it said needed more financial subsidies beyond a tax break approved by the state that would have let the company keep as much as $1 million in tax credits that otherwise would have had to be returned to electricity ratepayers.

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