BOEM Postpones Planned Offshore Oregon Wind Auction as Opposition Grew

 

The Bureau of Ocean Energy Management delayed plans for its October auction for three proposed offshore wind lease auctions off the coast of Oregon. The move came hours after Governor Tina Kotek released a letter sent to BOEM calling for a pause and saying she was disappointed that the federal government accelerated the process despite the concerns of many constituents in Oregon.

The announcement cited “insufficient bidder interest at this time,” with BOEM reporting it had received bidding interest from only one of the five companies qualified to participate in the auction. It is the second offshore wind auction that BOEM has canceled citing limited interest. They also postponed a planned sale for the Gulf of Mexico.

Governor Kotek wrote to BOEM saying that her office had heard growing concerns over the market readiness and BOEM timing for the sales. She noted the concerns from the coastal and fishing communities and the tribal nations, which had also gone to court seeking to block the auction. The confederation of tribes of the Coos, Lower Umpqua, and Siuslaw Indians sued to block the sale expressing concerns about the impact on the environment and BOEM’s failure to reflect their concerns in the final sale notice.

“Cancelling the lease sale makes sense,” said Tribal Council Chair Brad Kneaper in a statement released following BOEM’s announcement. “The Tribe, elected officials, commercial fishing interests, and others have consistently urged that BOEM delay moving forward with wind energy development until a better understanding is made of the impacts to fish, wildlife, the marine environment, and cultural resources important to the Tribe.”

Five companies had registered for the sale, Avangrid Renewables, Spanish floating-wind specialist BlueFloat Energy, Ocean Winds a joint venture between EDP and Engie, South Coast Energy, and Aker-owned Mainstream Renewable Power. However, as opposition continued to grow from the tribes and others in the community, Mainstream told Oregon Public Broadcasting that it would not participate in the sale. The Oregonian newspaper wrote that it understood two other companies had also decided not to participate. 

BOEM had planned to offer three areas ranging from Coos Bay to Brandon and Brookings, which would have totaled nearly 200,000 acres. They calculated the potential for 3.1 GW of energy from the sites with the auction scheduled for October 15.

Governor Kotek said the state was going to withdraw from the BOEM Oregon task force but that they were continuing efforts to develop a roadmap for renewable energy. As part of it, the state is engaging partners to fully understand the risks and opportunities in the renewable energy industry. The letter notes that they fully expect Oregon’s manufacturing industries and ports to play an important part in California lease area developments and the national market development.

BOEM said it would determine a future opportunity for a potential lease sale. The tribes responded saying the canceling of the current sale would create the opportunity to work with the state, commercial fishing interests, coastal communities, and others to understand the impacts and benefits before leases were sold. They said they would work to determine where the best places are to minimize impacts on the coast and their communities.
 

Top photo Oregon State Archives - CC BY 4.0