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Help us identify ways to turn today’s environmental challenges into job-creating and economic opportunities!The offshore wind industry in the United States can become a model for building the clean energy economy the right way.
The Challenge
While offshore wind generation has been used for decades in Europe, the technology is fairly new to the United States but is growing at a very quick pace. The nation’s first offshore wind farm began operation off the coast of Block Island, Rhode Island in 2016. Since then, projects have begun materializing off the Atlantic Coast and efforts to pave the way for floating offshore wind projects on the West Coast and Gulf Coast are following close behind.
The Opportunity
Offshore wind generation is a once-in-a-generation opportunity for our country. The offshore wind industry in the United States can become a model for building the clean energy economy the right way. The use of Project Labor Agreements (PLAs) within the industry has been widespread, illustrating a clear roadmap for offshore wind developers to follow to ensure that their workforce is the best of the best while also supporting high-quality job growth in local communities.
PLAs can also help achieve a fair return to taxpayers because they often reduce project costs for developers, save public funds in the long run, and increase economic benefits for the local economy. Further, PLAs often lead to safer working conditions due to a more skilled workforce. Data suggests that accidents—including death—are more common in states with low-road contractors. PLAs can also provide benefits for communities by offering hiring opportunities to historically marginalized communities, including racial minorities, women, and veterans. Targeted hire agreements can also help achieve this goal.
At the same time, to maximize the economic benefits of the growing U.S. offshore wind industry and capture the opportunities inherent in this sector, we must look beyond construction and invest in building strong domestic supply chains for the products and materials needed for these projects.
The National Renewable Energy Laboratory (NREL) cited global supply chain constraints as one of the most significant risks in meeting the 30GW national offshore wind target goal by 2030. This challenge is also a huge opportunity: One recent white paper estimated that getting to the administration’s goal of 30 GW of OSW deployment by 2030 will require an almost $109 billion buildout of the U.S. offshore wind supply chain. This demands growth in a number of sectors, including wind turbines and towers; turbine and substation foundations; cables; and substations.
Key Facts
30 Gigawatts (GW) The Biden administration has set a national goal of deploying 30 GW of offshore wind by 2030. (Source)
$4 Billion As of February 2023, the clean energy industry has announced more than $4 billion in investment in offshore wind across manufacturing, ports, vessels, workforce development, and research areas. (Source)
15,000 and 58,000 full-time workers A NREL study estimates that from 2024 to 2030, the offshore wind energy industry will need an annual average of between 15,000 and 58,000 full-time workers. (Source)