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Oregon’s first-ever offshore wind auction in jeopardy

News Feed
Wednesday, September 25, 2024

The future of Oregon’s contentious first-ever offshore wind auction is unclear as most of the developers eligible to bid no longer plan to participate.The Oregonian/OregonLive has learned several of the out-of-state companies have pulled their interest and another declined to comment, leaving one developer, Oregon-based NewSun Energy, to bid in the auction.It’s unclear whether the Oct. 15 lease sale will go on with a single bidder.The U.S. Bureau of Ocean Energy Management did not reply to numerous emails asking about the status of the auction or the number of bidders who plan to participate.In early September, the bureau announced five companies were eligible to bid on leases for two offshore wind energy areas totaling nearly 195,000 acres, one near Coos Bay and the other near Brookings. Four of the companies are well known in the offshore wind industry, while the fifth, an unfamiliar name, turned out to be NewSun Energy, a controversial Oregon-based developer.The Oregonian/OregonLive independently confirmed Wednesday that Mainstream Renewable Energy, BlueFloat Energy and Avangrid won’t participate in the lease sale. Ocean Winds, the fourth out-of-state eligible developer, declined to comment.NewSun’s founder and CEO Jake Stephens told The Oregonian/OregonLive he is still planning to bid.NewSun has built several utility-scale solar farms in south-central and eastern Oregon and is best known for its at times controversial ambitions to reshape Oregon’s green energy landscape.It’s not the first U.S. offshore wind lease auction that has attracted paltry interest.At the end of July, the Bureau of Ocean Energy Management canceled the second Gulf of Mexico auction due to a “lack of competitive interest.” And last summer, the first Gulf of Mexico auction ended with a single winning bid on one of three lease areas, with several eligible developers opting to sit out the auction. Early lease sales in the Atlantic saw similar low participation from developers.The lawyer for a group of Oregon’s tribes, which earlier this month sued the federal government to stop the auction, said going forward with a non-competitive lease sale could hurt Oregon’s interests.If only one bidder is left in the auction, “it is in everyone’s interest to cancel the auction if and until there is more interest. Without a competitive auction, there is little or no incentive for a developer to provide community benefits as part of its bid,” Rick Eichstaedt, attorney for the Confederated Tribes of Coos, Lower Umpqua and Siuslaw Indians, told The Oregonian/OregonLive.Offshore wind energy is considered a critical part of achieving the Biden administration’s climate goals, including the aggressive push to transition to clean energy. The Biden administration wants to deploy 30 gigawatts of offshore wind by 2030, enough to provide power for 10 million homes.But the fledgling U.S. industry has faced an uncertain landscape in recent months, including soaring costs, delays over multiple lawsuits and negative press in the wake of a blade failure on the East Coast.— Gosia Wozniacka covers environmental justice, climate change, the clean energy transition and other environmental issues. Reach her at gwozniacka@oregonian.com or 971-421-3154.Our journalism needs your support. Subscribe today to OregonLive.com.

The future of Oregon’s contentious first-ever offshore wind auction is unclear as most of the developers eligible to bid no longer plan to participate.

The future of Oregon’s contentious first-ever offshore wind auction is unclear as most of the developers eligible to bid no longer plan to participate.

The Oregonian/OregonLive has learned several of the out-of-state companies have pulled their interest and another declined to comment, leaving one developer, Oregon-based NewSun Energy, to bid in the auction.

It’s unclear whether the Oct. 15 lease sale will go on with a single bidder.

The U.S. Bureau of Ocean Energy Management did not reply to numerous emails asking about the status of the auction or the number of bidders who plan to participate.

In early September, the bureau announced five companies were eligible to bid on leases for two offshore wind energy areas totaling nearly 195,000 acres, one near Coos Bay and the other near Brookings. Four of the companies are well known in the offshore wind industry, while the fifth, an unfamiliar name, turned out to be NewSun Energy, a controversial Oregon-based developer.

The Oregonian/OregonLive independently confirmed Wednesday that Mainstream Renewable Energy, BlueFloat Energy and Avangrid won’t participate in the lease sale. Ocean Winds, the fourth out-of-state eligible developer, declined to comment.

NewSun’s founder and CEO Jake Stephens told The Oregonian/OregonLive he is still planning to bid.

NewSun has built several utility-scale solar farms in south-central and eastern Oregon and is best known for its at times controversial ambitions to reshape Oregon’s green energy landscape.

It’s not the first U.S. offshore wind lease auction that has attracted paltry interest.

At the end of July, the Bureau of Ocean Energy Management canceled the second Gulf of Mexico auction due to a “lack of competitive interest.” And last summer, the first Gulf of Mexico auction ended with a single winning bid on one of three lease areas, with several eligible developers opting to sit out the auction. Early lease sales in the Atlantic saw similar low participation from developers.

The lawyer for a group of Oregon’s tribes, which earlier this month sued the federal government to stop the auction, said going forward with a non-competitive lease sale could hurt Oregon’s interests.

If only one bidder is left in the auction, “it is in everyone’s interest to cancel the auction if and until there is more interest. Without a competitive auction, there is little or no incentive for a developer to provide community benefits as part of its bid,” Rick Eichstaedt, attorney for the Confederated Tribes of Coos, Lower Umpqua and Siuslaw Indians, told The Oregonian/OregonLive.

Offshore wind energy is considered a critical part of achieving the Biden administration’s climate goals, including the aggressive push to transition to clean energy. The Biden administration wants to deploy 30 gigawatts of offshore wind by 2030, enough to provide power for 10 million homes.

But the fledgling U.S. industry has faced an uncertain landscape in recent months, including soaring costs, delays over multiple lawsuits and negative press in the wake of a blade failure on the East Coast.

— Gosia Wozniacka covers environmental justice, climate change, the clean energy transition and other environmental issues. Reach her at gwozniacka@oregonian.com or 971-421-3154.

Our journalism needs your support. Subscribe today to OregonLive.com.

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By Simon Jessop, Katy Daigle and Kate Abnett(Reuters) - When Climate Week kicks off on Sunday in New York City, it will mark the event’s biggest...

By Simon Jessop, Katy Daigle and Kate Abnett(Reuters) - When Climate Week kicks off on Sunday in New York City, it will mark the event’s biggest year yet – with organizers reporting a record number of companies participating and more events than ever to attend.Almost no one had expected this response in a year that has seen the event’s host country – and the world’s wealthiest – set to a climate-denying agenda of boosting fossil fuels, rolling back pollution regulation and defunding U.S. science and climate action.Organizers of Climate Week even wondered, “Would people show up?” said Climate Group Chief Executive Officer Helen Clarkson.“Actually, there's huge enthusiasm for it," Clarkson said.Held alongside the U.N. General Assembly since 2009, this year’s Climate Week showcases more than 1,000 events – including presentations, panel discussions and swanky cocktail parties – hosted by environmental nonprofits, companies and philanthropists hoping to generate deals and discussion around protecting the planet.Last year’s Climate Week, by comparison, saw about 900 events.The boost in engagement has come “precisely as an antidote to the current U.S. administration’s attitude toward climate change,” former U.N. climate chief Christiana Figueres told Reuters in an interview.Ten years ago, Figueres helped to craft the 2015 Paris Treaty under which countries agreed to hold the global temperatures to within 2 degrees Celsius of the preindustrial average while aiming for a more ambitious target of 1.5 degrees Celsius.But while national governments were pushing the climate agenda 10 years ago, Figueres said, the situation has since drastically changed.“The pull now is coming from stakeholders, from the real economy, from market forces that are pulling forward,” Figueres said.The Swiss carbon capture firm Climeworks has booked itself for nearly four times the number of events this year compared with last year, after the company in February raised $162 million toward improving its technology and growing the company, Co-Chief Executive Christoph Gebald said."We're continuing to see demand increase for carbon removals,” Gebald said. For Climate Week, "the level of interest from the most senior levels of companies is higher than ever.”Many major fossil fuel companies and some oil-dependent governments, however, have made moves toward reversing previous climate commitments.With the U.N. General Assembly meeting at the same time, Climate Week has developed into a major networking opportunity for CEOs and investors to rub elbows with visiting world leaders.The Assembly will take up the climate change issue on Wednesday, when Secretary-General Antonio Guterrez hosts a special “climate summit.” Many leaders are expected to announce new climate targets, or Nationally Determined Contributions.Neither the U.S. nor the European Union will be among them, despite having acted as leaders of the global climate agenda in the past. 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So therefore, there is also a call from our side that all parties to the Paris Agreement also should lift their responsibility." The region is nevertheless seeing fast progress in its energy transition, with the EU projecting a 54% reduction in its greenhouse gas emissions by 2030 from 1990 levels - meaning member countries are nearly on track for the EU's previous 55% target for 2030.With leaders at November’s COP30 set to focus on boosting implementation of promises made in the past, experts say companies need to be in the conversation now.More than half of the world's biggest companies have pledged to reach net-zero emissions by mid-century, in line with the world's climate goal, according to data from the non-profit Net-Zero Tracker.But according to an analysis by the TPI Global Climate Transition Centre at the London School of Economics and Political Science, a whopping 98% of companies have shared no plans for aligning their spending with those commitments."The challenge for New York Climate Week and beyond is to ensure that individuals and institutions come together in new ways to reimagine how we can cooperate against common threats," said Rajiv Shah, president of The Rockefeller Foundation.A survey released on Thursday by the foundation that questioned 36,348 people worldwide estimated that most of the world’s population - a full 86% - believed international cooperation was crucial for climate action.(Reporting by Simon Jessop in London, Katy Daigle in Washington, D.C., and Kate Abnett in Brussels; Additional reporting by Axel Threlfall in London; Editing by Mark Porter)Copyright 2025 Thomson Reuters.

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Key oceans treaty crosses threshold to come into force

Sixty states have ratified a global treaty to protect the oceans - it will become law in January.

A global agreement designed to protect the world's oceans and reverse damage to marine life is set to become international law. The High Seas Treaty received its 60th ratification by Morocco on Friday, meaning that it will now take effect from January.The deal, which has been two decades in the making, will pave the way for international waters to be placed into marine protected areas.Environmentalists heralded the milestone as a "monumental achievement" and evidence that countries can work together for environmental protection."Covering more than two-thirds of the ocean, the agreement sets binding rules to conserve and sustainably use marine biodiversity," United Nations Secretary-General Antonio Guterres said.Decades of overfishing, pollution from shipping and warming oceans from climate change have damaged life below the surface. In the latest assessment of marine species, nearly 10% were found to be at risk of extinction, according to the International Union for Conservation of Nature (IUCN).Three years ago countries agreed that 30% of the world's national and international waters - high seas - must be protected by 2030 to help depleted marine life recover.But protecting the high seas is challenging. No one country controls these waters and all nations have a right to ship and fish there. Currently just 1% of the high seas are protected, leaving marine life at risk from overexploitation. So, in 2023 countries signed the High Seas Treaty pledging to put 30% of these waters into Marine Protected Areas.But it was only able to enter force if more than 60 nations ratified it - meaning they agreed to be legally bound by it. With many nations requiring parliament approval, ratification can often take more than five years, Elizabeth Wilson, senior director for environmental policy at environmental NGO The Pews Charitable Trust, told the BBC at the UN Oceans Conference earlier this year. She said this was "record time". The UK introduced its bill for ratification to Parliament earlier this month. Kirsten Schuijt, director general of WWF International, hailed "a monumental achievement for ocean conservation" after the treaty threshold was reached. She added: "The High Seas Treaty will be a positive catalyst for collaboration across international waters and agreements and is a turning point for two-thirds of the world's ocean that lie beyond national jurisdiction."Mads Christensen, executive director of Greenpeace International, called it "a landmark moment" and "proof that countries can come together to protect our blue planet". "The era of exploitation and destruction must end. Our oceans can't wait and neither can we," he added.Once the treaty comes into force, countries will propose areas to be protected, and these will then be voted on by the countries that sign up to the treaty.Critics point out that countries will conduct their own environmental impact assessments (EIA) and make the final decision - although other countries can register concerns with the monitoring bodies.The ocean is crucial for the survival of all organisms on the planet. It is the largest ecosystem, is estimated to contribute $2.5 trillion to world economies, and provides up to 80% of the oxygen we breathe.

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Newsom signs slate of climate, energy bills in California

California Gov. Gavin Newsom (D) on Friday signed a slate of bills regarding climate and clean energy in an effort to “lower electricity costs, stabilize the petroleum market and slash air pollution.” The measures signed into law include legislation to increase climate credits on utility bills, expand regional power markets out West, add $18 billion...

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Can Hydroponic Farming Help Reduce the Effects of Climate Change?

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