Briefing:DelawareOffshoreWind

WorkingGroup

January26,2018

ThomasNoyesDNRECDivisionofEnergy&Climate

Agenda

�Governor’sExecutiveOrder13�OffshoreWindWorkingGroup�ProgresstoDate:December15Memorandum

�SupplyChainOpportunitiesforDelaware

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ExecutiveOrder13OffshoreWindWorkingGroupestablished“tostudyhowDelawarecanparticipateindevelopingoffshorewind,identifywaystoleveragetherelatedeconomicopportunities,andmakespecificrecommendationsforengaginginthedevelopmentofoffshorewindforDelaware.”

OffshoreWindWorkingGroup

� TheWorkingGroupmetsixtimesfromOctobertoDecember2017

� TwopubliccommentsessionswereheldNovemberandDecember2017

� MemototheGovernorsentDecember15

4www.de.gov/offshorewind

ProgresstoDate:December15Memo

�Noimmediateprocurement�Severaloptionsdeservefurtherconsideration:

�Largescalepurchase� Incrementalcommitmentstofutureprojects�Waituntilmoredevelopersproposeprojectsinthemid-Atlanticregion

�Evaluateotherrenewableresourcesinlieuofoffshorewind

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December15Memo:Questions� Howshouldanoffshorewindsubsidybepaidfor?� Whatarethebenefitsandcostsofdevelopingsupplychain

opportunities?� IsDelawareabletotakeadvantageofthebenefitsofoffshore

windwithoutdirectlyinvestinginanoffshorewindproject?� ShouldDelawareuselowercostrenewableresourcesinstead

ofoffshorewind?� Howdothecustomerbenefitsofdistributedsolaraffectthe

relativebenefitsandcostscomparedtooffshorewind?� Whatarethedifferencesinavoidedemissionsimpacts

betweenland-basedwindwestofDelawareandoffshorewind?

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December15Memo:Questions� Whataretheexpectedimpactsontourism?� Whatarethepotentialenvironmentalimpactsofoffshore

wind?� Whatwouldbetheenvironmentalimpactofatankerhitting

anoffshorewindinstallation?� Whataretheadvantagesanddisadvantagesofwaitingtoact

onoffshorewind?� Whatistheimpactofanoffshorewindcarve-outontheRPS?� Howwillanincreaseinutilityratesimpacteconomic

developmentandjobs?� Whatistherelativeelasticity(economicimpact)ofhigher

electricrates?7

SupplyChainOpportunities� Delawarehaslimitedbuyingpower,butsignificantlocationaladvantagesforsupplychain

� IndustryexpertshavenotedDelaware’slocationaladvantages

� Whatarethelinksbetweencustomercommitmentsandsupplychain?

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NextSteps

�Progressreportbeingedited�WorkingGroupwillmeetagainnextmonth�Furtherpublicworkshopsbeingplanned�WorkingGroupconstitutedthroughJune2018

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Thankyou.

ThomasNoyesthomas.noyes@state.de.us