Offshore Wind Turbine Manufacturing Gains Ground in U.S.
The U.S. wind turbine manufacturing industry has expanded rapidly in response to increasing demand for renewable energy. This growth can be attributed to both federal and state-level policies that promote the adoption of wind energy, such as tax incentives, grants and renewable portfolio standards. As a result, wind turbine-manufacturing companies have established operations within the country. Industrial Info is tracking more than $5 billion worth of projects involving wind turbine manufacturing in the U.S. Most of these are for the manufacture of components to be used offshore. The Biden administration has set the lofty goal of the U.S. having 30 gigawatts (GW) of offshore wind power by 2030.
Earlier this year, California's Port of Long Beach announced plans for its Pier Wind Terminal, a multibillion-dollar plant that would be the U.S.' largest manufacturing center dedicated to offshore wind turbines. The Pier Wind Terminal specifically will develop floating offshore turbines, which will help supply the turbines needed to meet California's goal of having 25 GW of offshore wind power by 2045.
The Pier Wind project would be developed on a 400-acre site in two phases. Officials say construction could begin as soon as early 2027, putting the facility's first 100 acres on track to begin production in early 2031, with the second phase completed in 2035. Construction of the plant will be a significant undertaking and will include manufacturing areas for blades and towers, a foundation assembly area and a commissioning area for vessels. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can click here for more information on the project.
While the Pier Wind Terminal will be the largest offshore turbine-manufacturing facility in the U.S., other manufacturers are jumping on the offshore wagon and plan to establish manufacturing for the U.S.' nascent offshore wind sector. A majority of the active U.S. turbine-manufacturing projects tracked by Industrial Info are geared toward offshore turbines.
A few major players dominate the wind turbine manufacturing sector in the U.S. Some of the most prominent companies include General Electric (NYSE:GE) (GE) (Boston, Massachusetts), Vestas Wind Systems A/S (Aarhus, Denmark) and Siemens Gamesa Renewable Energy SA (Hamburg, Germany).
Siemens Gamesa is on track to begin construction of an offshore wind turbine blade-manufacturing plant in Portsmouth, Virginia. The facility will be able to produce blades for 100 turbines per year. The facility will manufacture blades for one of the U.S.' largest offshore wind projects, Dominion Energy Incorporated's (NYSE:D) (Richmond, Virginia) Coastal Virginia Offshore Windfarm (CVOW). The CVOW will use 188 turbines, rated at 14 megawatts (MW) each, to achieve generation of about 2.6 GW. Subscribers can click here for more information on the Siemens Gamesa project, and subscribers to Industrial Info's Power Project Database can learn more on the CVOW by viewing the project report.
New York state also has taken a leading role in offshore wind energy goals. State law mandates that 70% of New York's power come from renewable sources by 2030 and calls for the development of 9 GW of offshore wind power by 2035. Neighboring New Jersey is aiming for 11 GW of offshore wind by 2040, sweetening the prospects of a New York manufacturing facility. Just as the Port Long of Beach and Siemens Gamesa are building in places where offshore wind is likely to develop, offshore turbine manufacturers are coming to New York.
LM Wind Power, a subsidiary of GE next year plans to begin construction of an offshore blade manufacturing plant in Coeymans, New York. Upon completion, which is expected in 2025, the facility will manufacture components for GE's Haliade X wind turbines. This type of turbine features a 107-meter blade and 220-meter rotor and comes with rated capacities of 12-14 MW. Subscribers can click here for more details.
While the blade-manufacturing center is under construction, GE also plans to establish a manufacturing center for Haliade X nacelles, also in Coeymans. Subscribers can click here for the full report.
The Haliade X turbines will be used in the Ocean Wind 1 wind project off the New Jersey coast. Construction of the facility was approved by the Biden-Harris administration in early July. The Ocean Wind 1 windfarm will feature 92 Haliade X turbines, each rated at 12 MW, to achieve nameplate generation of 1.1 GW. Construction could potentially begin late next year, taking an estimated three years to complete. Subscribers can click here to learn more.
Vestas is looking at the area in and around Albany, New York, to establish a plant to manufacture blades for its offshore turbines, taking aim at the New York and New Jersey markets. Once the site is finalized, construction of the plant could begin next year, putting it on track to begin production in 2025. Subscribers can click here for more details.As the demand for renewable energy continues to surge, U.S. wind turbine manufacturers stand poised to play a pivotal role in shaping the global clean energy landscape. Offshore wind component development, still in its early stages in the U.S., seems poised to take off.