The recent executive order temporarily halting new federal wind leases has created uncertainty within the US offshore wind industry. While this pause may impact future projects, the construction of the $9.8 billion Coastal Virginia Offshore Wind (CVOW) project continues to progress.

Dominion Energy, the developer of CVOW, remains confident in the completion of this 2.6 GW project, which is scheduled to be operational in 2026 and capable of powering 660,000 homes. As of November 2024, half of the monopile foundations for the 174 turbines had been installed roughly 27 miles off the coast of Virginia Beach.

Recent developments include the departure of a heavy load carrier from the Port of Aalborg, Denmark, carrying 18 transition pieces for CVOW. This shipment, delivered by CS WIND Offshore, brings the total number of delivered transition pieces to 69. Despite challenging weather conditions, the loading operation was successfully completed, and the vessel is now in route to the US for installation by DEME Group.

While Dominion emphasizes the long-term bipartisan support for Virginia's clean energy transition, the future of its other offshore wind leases, planned for development in the 2030s, remains uncertain due to the ongoing federal review of wind energy policies. The company secured a 176,000-acre lease adjacent to its existing CVOW project for $17.6 million in a federal auction last year. Additionally, they acquired Kitty Hawk North Wind, a 40,000-acre lease off the Outer Banks, from Avangrid Renewables for $160 million. Neither of these newly acquired leases have received the necessary federal permits for development, making their estimated cost and timeline currently unknown. Dominion has also implemented risk mitigation strategies, such as selling a stake in the CVOW project, to navigate potential challenges.

Credit: Virginia Business