"Citing cost increases, Avangrid asks to back out of offshore wind contracts for project off Martha’s Vineyard"

"AVANGRID PULLED OUT of a major Massachusetts offshore wind procurement at the final stage on Friday, saying its previously negotiated power purchase contract was no longer adequate to secure financing for the project given current economic conditions.

The company said it intends to resubmit the project with new pricing requirements when the state begins its next offshore wind procurement in April.

The decision is potentially a major blow to the state’s clean energy efforts and is likely to trigger a debate on Beacon Hill about whether inflation adjusters need to be incorporated going forward with future offshore wind procurements. New York and New Jersey are moving down that path now."

Continue reading the article online at CommonWealth Magazine ->

https://commonwealthmagazine.org/energy/avangrid-pulls-out-of-major-mass-offshore-wind-procurement/

 

Boston Globe coverage -> (subscription may be required)

https://www.bostonglobe.com/2022/12/16/business/citing-cost-increases-avangrid-asks-back-out-offshore-wind-project-off-marthas-vineyard/

Connecticut-based Avangrid said it intends to enter the state’s next round of bidding for wind-farm contracts in the spring. RODRIQUE NGOWI/ASSOCIATED PRESS