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Ocean County Leader

Saturday, February 22, 2025

New Jersey cancels fourth offshore wind solicitation amid economic viability concerns

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Congressman Christopher H. Smith, District 4 | Official U.S. House headshot

Congressman Christopher H. Smith, District 4 | Official U.S. House headshot

The New Jersey Board of Public Utilities (BPU) has announced the cancellation of its fourth offshore wind solicitation. This decision follows Shell Energy's recent withdrawal from the Atlantic Shores wind project off the coast of New Jersey. Representative Chris Smith (NJ-04) commented on the development, stating it is "good news" and highlighting that industrializing oceans is "completely untenable."

Smith criticized the Murphy Administration for supporting these projects despite their lack of economic viability. He remarked, "Without Shell, even the Murphy Administration...admits these projects are not economically viable." The Atlantic Shores project was allowed to rebid in an effort to make it more favorable, but escalating costs remained a challenge.

Christine Guhl-Sadovy, President of the NJ BPU, explained that several factors influenced their decision to cancel the solicitation. She cited Shell's exit as an equity partner and uncertainty driven by federal actions and permitting as key reasons.

Smith linked this cancellation to President Trump's January 20th Executive Order on offshore wind. He hopes this will lead to a permanent halt of all such projects off the Jersey Shore. Smith has been vocal about his concerns regarding these projects' scrutiny, sustainability, and legal aspects.

In a recent letter, Smith urged the Bureau of Ocean Energy Management to comply with the Executive Order by canceling upcoming public hearings. He also called on BPU to cancel reviews for proposed infrastructure in Sea Girt due to community concerns over electrical cables in residential areas.

Smith emphasized BPU's mission statement should ensure utility services are provided at reasonable rates. However, he believes offshore wind projects pose threats to radar, national security, and local industries like fishing. He urged BPU to listen to citizens' concerns and terminate contracts for any offshore wind initiatives on the Jersey Shore.

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