Connecticut 2 GW offshore wind RFP acknowledges financial challenges for developers

Connecticut and Rhode Island have opened bid solicitations for 2 GW and 1.2 GW of offshore wind, respectively, after announcing a multistate memorandum of understanding with Massachusetts earlier in October. The final Connecticut RFP also includes a provision allowing bidders to submit pricing at a rate indexed to the price of “listed macroeconomic factors and commodities and that would be fixed at a date certain in the future,” allowing prices to adjust for factors like inflation. The addition of this provision comes as some offshore wind developers, struggling to advance projects in the face of inflation and other challenges, are asking states to allow them to exit and rebid their power purchase agreements. The indexed pricing option adjusts for changes that might occur after the bid due date but before the project reaches final close, and allows for the final price to be adjusted either up or down by no more than 15%.

https://www.utilitydive.com/news/connecticut-rhode-island-massachusetts-offshore-wind-solicitation/698250/

Share This Article: