February 8, 2019 Read More →

Rhode Island offshore wind project to cost less than 10 cents per kilowatt-hour

Providence Journal:

When critics assailed the high price awarded to Deepwater Wind nearly a decade ago for power from what would be the first offshore wind farm in the nation, the Providence company and its supporters in Rhode Island state government vowed that savings would come with future projects down the line.

With a proposed agreement announced Thursday, they would fulfill that promise.

Under the contract filed with the Public Utilities Commission, National Grid would pay Deepwater, now part of Danish-owned Orsted U.S. Offshore Wind, a flat rate over 20 years of 9.8 cents per kilowatt hour for power from its Revolution Wind Farm, a 400-megawatt project proposed in Rhode Island Sound.

And critically, the deal is projected to save Rhode Island about $90 million in energy costs over the life of the contract, or about 50 cents per month for the typical electric customer in the state.

The power purchase agreement proves that Rhode Island can develop renewable energy at an affordable cost, state energy commissioner Carol Grant said in an interview. “It’s not either/or. It’s not clean or affordable. It’s both,” she said.

More: National Grid contract with Orsted would save customers $90 million over 20 years

 

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