Today, May 29, the Biden administration announced an ambitious plan to expand wind farms along the East Coast. The goal would be to see the United States produce 30 gigawatts of offshore wind power by 2030. That’s just a little ambitious since U.S. offshore wind power production right now is 30 megawatts (a gigawatt is 1,000 megawatts) from one wind farm off Rhode Island. Europe, in contrast, already has 24 gigawatts in operation, and the United Kingdom aims to have 40 gigawatts online by 2030.
Besides generating enough power for 10 million U.S. homes, the plan would cut 78 million metric tons of carbon dioxide emissions.
The plan includes speeding permitting for projects off the East Coast, money for research and development, $3 billion in low-interest loans to U.S. wind companies, and $230 million in investments in U.S. ports to ease construction of offshore turbines.
Off-shore wind power is poised to take off along the East Coat with commitments from Connecticut, Maryland, Massachusetts, New Jersey, New York and Virginia to buy at least 25,000 megawatts of offshore electricity by 2035, according to the American Clean Power Association.
Some parts of the administration’s plan don’t require legislation–an executive order from the president could speed up permitting. Other parts will require money from Congress. But the plan actually has more chance than many Democratic initiatives of getting to Biden’s desk. The plan is being sold as heavy on the creation of well-paying construction and engineering jobs, including in economically depressed port areas, and that might make it possible to build a coalition to push the plan through the Senate.
I’ve got five wind power stocks already in my portfolios include, in my Jubak Picks Portfolio Vestas Wind Systems (VWDRY) and Eversource Energy (ES), in my Dividend Portfolio Duke Energy (DUK), and in my Millennial Portfolio American Semiconductor (AMSC) and Toray Industries (TRYIY)