(Reuters) – Maryland Governor Wes Moore signed a bill aimed at reevaluating and possibly revising existing offshore wind project plans, paving the way for the state’s goal of reaching 8,500 megawatts of offshore wind energy capacity by 2031.
The bill signed into law on May 9 gives the Maryland Public Service Commission (PSC) the authority to initiate procedures to evaluate offshore wind energy projects, including the pricing of offshore wind energy credits (OREC).
The bill, which allows for the increase in the maximum number of ORECs sold under certain conditions, will come into effect from June 1, when the PSC will open a revised Round 2 procedure for offshore wind projects.
The bill will allow the state to reallocate the aid granted to Orsted’s Skipjack project, whose developer has withdrawn the power purchase agreement, to other eligible offshore wind projects, OffshoreWIND.biz, an online media platform wrote on Monday .
Denmark’s Orsted (CSE:), the world’s largest offshore wind company, said in late January it would terminate a deal to supply Maryland with offshore wind energy from Skipjack because the previously agreed contract was no longer commercially viable.
The legislation also mandates the PSC to report on a comprehensive plan for state offshore wind energy procurement until 2031. This plan will set a path for future offshore wind energy projects.
