When Revolution Wind got hit with a federal stop-work order, Rhode Island was hit hard. Our state was suddenly faced with the prospect of a clean energy project that could power more than 350,000 homes and businesses coming on years later than anticipated. An outcome that could have disastrous consequences for our state’s energy capacity and Rhode Islanders’ electricity costs.
This disruption only underscored the need for federal permitting reform to prevent situations such as this from repeating.
Thankfully, Sen. Sheldon Whitehouse, the ranking member on the Committee on Environment and Public Works, has announced a return to the negotiating table on bipartisan permitting reform. Importantly, he did so with a clear condition: the Trump administration must keep clean energy projects moving while talks are underway. That’s not just good politics. It’s the right call.
The federal permitting system is broken. Environmental reviews under the National Environmental Policy Act last more than four years on average. Major projects can take close to a decade from start to finish. In the meantime, clean energy projects sit in limbo, the existing fossil fuel system continues to go unchecked, and electricity demand and consumer costs keep climbing.
Over the next four years, electricity demand is set to grow by 32%. Right now, we don’t have the capacity to meet this demand.
Clean energy, and offshore wind in particular, is a big part of the answer. As a port professional involved in three of the six major wind terminals built in New England (North Kingstown, New London, Conn., and Salem, Mass.), I played a key role in helping direct the permitting, design and engineering for these critical facilities to support the offshore wind industry.
Rhode Island is ready to play our part in securing the nation’s clean energy future. But new projects can’t be built if the permitting process is a decadelong obstacle course or if a future administration can pull an approved permit on a whim. Delays in permitting processes can cost over $1 million each day in vessel charter and equipment rental costs alone.
That’s what bipartisan permitting reform can fix.
A deal that places clean energy projects on an even playing field with other projects is an investment in the future. It would provide real protection against bad-faith terminations and guarantee that a project that clears all the legal and environmental hurdles is completed.
Bringing more certainty to the permitting process will help all sectors of the economy, not just offshore wind construction. Reducing uncertainty reduces costs throughout the project life cycle and will lead to cheaper prices throughout domestic supply chains.
Energy costs are already hitting Rhode Islanders hard. Year over year, electricity prices have risen 23%, putting us second in the nation for electricity price hikes. Without more capacity on the grid, shortages and even higher prices are likely in the years to come.
Clean energy, including wind and solar built here, is the most practical path to bringing costs down. But only if we can get these projects permitted and built in a reasonable time frame.
Every year a clean energy project sits in review is another year that we’re losing the fight to build enough capacity. It’s another year that consumers pay the price.
Fortunately, we have a leader in Senator Whitehouse who understands this. He’s fought for clean energy, for the environment, and for a deal that doesn’t just look good on paper but actually delivers.
It’s good that he’s back at the table and drawing a clear line about what any deal needs to include. We need a permitting system that works; protecting the projects we’ve already won, and paving the way for new ones.
Evan Matthews is the principal of Resilience Maritime Advisors LLC, a Rhode Island-based consulting firm specializing in port development and maritime advisory services. He is a former port director for the Quonset Development Corp.