Governor Hochul Announces the Finalization of New Contracts for Empire Wind 1 and Sunrise Wind

Once in Operation in 2026, Offshore Wind Projects Will Be the Largest Power Generation Projects in New York State in Over 35 Years

Supports Progress Towards Achievement of the State’s Climate Leadership and Community Protection Act Goal for 9,000 Megawatts of Offshore Wind by 2035

Governor Kathy Hochul announced the finalization of new contracts for Empire Wind 1, a planned 810-megawatt project (developed by Equinor), and Sunrise Wind, a planned 924-megawatt project (developed by Ørsted and Eversource) as the result of New York’s fourth offshore wind solicitation. The two offshore wind projects, totaling over 1,700 megawatts, will produce enough clean energy to power over one million New York homes and will be the largest power generation projects in New York State in over 35 years once they enter operation in 2026. Today’s announcement is part of New York’s 10-Point Action Plan to support the growing large-scale renewable energy industry, and represents progress toward the achievement of the State’s Climate Leadership and Community Protection Act (Climate Act) goal to develop 9,000 megawatts of offshore wind energy by 2035.

“New York is leading the nation to build the clean energy industry, create good-paying jobs, and advance our climate goals,” Governor Hochul said. “Offshore wind is a critical piece of our clean energy blueprint to address the climate crisis, and our investments are building a healthy, sustainable New York so that future generations can thrive.”

The competitively selected projects will create more than 800 near-term family-sustaining construction jobs, and invest $2 billion in enhanced economic development statewide, including developer-committed investments to support disadvantaged communities. Beyond the projects’ contractual obligations, Empire Wind 1 and Sunrise Wind are expected to deliver more than $6 billion in economic benefits statewide over the 25-year life of the projects.

Empire Wind 1 and Sunrise Wind were previously awarded by NYSERDA in 2019 as part of NYSERDA’s first offshore wind solicitation, and re-awarded in 2023. As part of the new contracts, the projects will be held to new provisions that bring additional benefits to the State, including:

• New economic benefit commitments above what was originally contracted, including $32 million committed to community-focused investments in New York’s disadvantaged communities and $16.5 million towards wildlife and fisheries monitoring.
• Commitments to purchasing a minimum of $188 million of U.S. iron and steel, supporting U.S. manufacturing and the New York Buy American Act.
• Requirements for Labor Peace Agreements for operations and maintenance services.

With today’s announcement, the projects are now on a path to near term project completion, driving local investments and enhanced economic benefits to New York State at cost-competitive rates. The average bill impact for residential customers over the life of these projects under these awards will be approximately two percent, or about $2.09 per month. The weighted average all-in development cost of the contracted offshore wind projects over the life of the contracts is $150.15 per megawatt-hour which is on-par with the latest market prices.New York State's Nation-Leading Climate Plan

New York State's climate agenda calls for an orderly and just transition that creates family-sustaining jobs, continues to foster a green economy across all sectors and ensures that at least 35 percent, with a goal of 40 percent, of the benefits of clean energy investments are directed to disadvantaged communities. Guided by some of the nation’s most aggressive climate and clean energy initiatives, New York is advancing a suite of efforts – including the New York Cap-and-Invest program (NYCI) and other complementary policies – to reduce greenhouse gas emissions 40 percent by 2030 and 85 percent by 2050 from 1990 levels. New York is also on a path to achieving a zero-emission electricity sector by 2040, including 70 percent renewable energy generation by 2030, and economy-wide carbon neutrality by mid-century. A cornerstone of this transition is New York's unprecedented clean energy investments, including more than $28 billion in 61 large-scale renewable and transmission projects across the State, $6.8 billion to reduce building emissions, $3.3 billion to scale up solar, nearly $3 billion for clean transportation initiatives and over $2 billion in NY Green Bank commitments. These and other investments are supporting more than 170,000 jobs in New York’s clean energy sector as of 2022 and over 3,000 percent growth in the distributed solar sector since 2011. To reduce greenhouse gas emissions and improve air quality, New York also adopted zero-emission vehicle regulations, including requiring all new passenger cars and light-duty trucks sold in the State be zero emission by 2035. Partnerships are continuing to advance New York’s climate action with more than 400 registered and more than 130 certified Climate Smart Communities, nearly 500 Clean Energy Communities, and the State’s largest community air monitoring initiative in 10 disadvantaged communities across the State to help target air pollution and combat climate change.