New Jersey recently launched its fourth solicitation and 10+ offshore wind projects could bid

New Jersey recently launched its fourth offshore wind solicitation (NJ4) for up to 4 GW, with the option to award more if it is deemed appropriate – and more than ten projects could bid, lining NJ4 up to be the latest in a long line of ambitious, large-scale procurements in East Coast US.

The projects that can bid in NJ4 are an assorted mix of both newer projects that have never had an offtake contract before, and older projects that want to re-bid, and which may on top of that be in the process of being sold.

New Jersey accounts for these possibilities in its fourth solicitation by:

• Allowing re-bids: Ørsted’s Ocean Wind projects and Shell and EDF’s Atlantic Shores 1 may wish to re-bid. Ørsted already cancelled the offtake contracts for the Ocean Wind projects, and while Shell and EDF haven’t done so yet for Atlantic Shores 1, the auction allows projects with old contracts to bid, contingent on them cancelling the old contract if awarded in NJ4.

• Setting rules for bidders in a sales process: As Ørsted or others could be in the process of selling off parts of or the whole proposed project while bidding, the solicitation documents require that information on the sale and both current and potential future project owners is provided.

Developers must submit their offers by July 10th, and awards are scheduled for December 2024.

​Aegir Insights' market intelligence on the US

Aegir Insights follows the US offshore wind industry closely and offers a comprehensive overview of projects and auctions the region. Clients can reach out to lead regional analyst Signe Sørensen to schedule a session unpacking recent auction news, including NJ4 and NY5.

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Dive into our analysis on the tri-state auction

March of this year saw the bidding deadline of the novel tri-state collaborative auction between Massachusetts, Connecticut and Rhode Island. The three neighboring states decided to join forces and resources to mitigate the recent economic turmoil in the US offshore wind market.

What does it mean for the future dynamics of the Atlantic US offshore wind market if more old projects get new contracts in the tri-state auction, such as it happened in the recent New York auction?

Sign up below to access the recording of our Wavelength Intelligence Briefing, giving an overview and exclusive analysis of the developments in the Atlantic US offshore wind market.

Watch the recording: 'Tri-state auction: US offshore wind continues re-set after tumultuous 2023'