Iberdrola, through its US subsidiary Avangrid, has secured a 791 MW contract to develop the New England Wind 1 offshore wind farm. The project is expected to attract $3 billion in regional investments. Once operational, the project will deliver clean energy to 400,000 homes in Massachusetts.
The project includes development of a new marshalling port in Salem and an offshore wind manufacturing facility in New Bedford. Once the power purchase agreement is approved, construction is expected to begin in 2025, with full operations slated for completion by 2029.
In August 2024, Iberdrola secured a 15-year syndicated green loan of €500 million along with ICO, Sabadell, and HSBC. The loan, backed by Cesce under its Green Investment Policy, is guaranteed by the Internationalisation Risk Reserve Fund linked to the Ministry of Economy, Trade, and Enterprise.
REGlobal’s Views: The US offshore wind market is witnessing many large announcements including a slew of new areas being allocated for development. This brings relief for the industry as the growth in the offshore wind sector was suffering because of supply chain issues and high capital costs, with a few major projects cancelled or postponed in the US.
