SLO port tests waters for wind facility
Offshore wind has been one of the most discussed topics for creating clean renewable energy in California and San Luis Obispo County is embracing it more than any other county on the Central Coast.
On July 24, the Port San Luis Harbor District’s Board approved entering into a Project Evaluation Agreement with Clean Energy Terminals, a leading developer of offshore wind port facilities across the U.S.
According to the press release, the agreement allows both parties to evaluate the technical and commercial feasibility of an offshore wind operations and maintenance port facility in San Luis Obispo Bay.
This agreement is the first step in what could be a six-plus-year development process that would result in a facility capable of handling the “multi-billion-dollar offshore wind industry and several hundred high-quality, long-term jobs in the Central Coast region,” the press release read.
“The Harbor District’s mission is to support commercial, recreational, and coastal-related activities, and to this end, offshore wind represents a once-in-a-generation opportunity for San Luis Obispo Bay that we simply cannot overlook,” Suzy Watkins, harbor director of the Port San Luis Harbor District, said in a press release.
“The commercial and energy-related activities of the last century led to infrastructure investments that harbor users still enjoy today, including Harford Pier and the federal breakwater. Offshore wind represents this century’s opportunity to invest in local maritime projects that will ensure the Harbor’s role as a critical economic engine in SLO County for generations to come.”
If an O&M facility is found to be feasible, the facility could be utilized by multiple wind projects located in federal waters off San Luis Obispo Bay.
The evaluation is expected to take between 6 and 18 months, the harbor district said.
If found to be possible, developing the facility would take about six to eight years, depending on the progress of other offshore wind projects.
“We believe that, at its core, infrastructure development is economic development. Ports are the pivot-point where investments in offshore wind generation are transformed into family sustaining clean energy careers, new supply chain investments for Californian communities, and growth opportunities for small and diverse Central Coast businesses,” Brian Sabina, CEO of CET, said in a press release.
Offshore wind is a multi-billion-dollar maritime energy industry that has experienced significant growth internationally and on the East Coast.
According to an Oceanic Network report released in 2023, the U.S. needs to invest at least $36 billion in new and upgraded offshore wind port infrastructure over the next ten years across approximately 100 port facilities.
The Californian Energy Commission estimates that $11-12 billion is required to upgrade port infrastructure across California to meet the State’s 25 GW by 2045 offshore wind goal.
The press release noted that Port San Luis has been identified by multiple independent studies as a high-potential location for an operations and maintenance facility.
A few years ago, the U.S. Department of Defense gave the green light for the development of three gigawatts of offshore wind energy development off the coast of Morro Bay.
In December 2022, those three Morro Bay leases totaled $425.6 million in proceeds. Including the bids for the sites in Humboldt County in Northern California, the total proceeds were $757.1 million.
Currently, developers who won those bids are in the process of getting together a plan to begin construction.
“Offshore wind developers have invested more than $425 million into three projects off the Central Coast. With the right infrastructure, our region is uniquely positioned to serve as a small-scale operations and maintenance hub, transporting crews and equipment to the sites 20-plus miles offshore,” REACH President/CEO Melissa James said in a press release.
“This critical step builds on community collaboration between the Port San Luis Harbor District, SLO County and the private sector to further evaluate the possibilities and capture the jobs and other economic benefits of this new innovation industry.”
email: jmercado@pacbiztimes.com
