First-ever Gulf of Mexico offshore wind energy lease sale announced by US Interior Department

The US Department of the Interior (DOI) declared it will stage the first-ever offshore wind energy lease sale in the Gulf of Mexico. This move propels the Biden-Harris administration’s agenda to achieve 30 gigawatts (GW) of offshore wind energy by 2030 and accomplish a carbon-free electricity sector by 2035. Slated for August 29, 2023, the Bureau of Ocean Energy Management’s (BOEM) auction zones have the capacity to generate approximately 3.7 GW, enough to power nearly 1.3 million homes with clean, renewable energy.

The lease sale forms part of the larger Bidenomics strategy and the Investing in America agenda, aimed at bolstering the US economy through extensive infrastructure development, facilitating over $490 billion in private sector manufacturing and clean energy investments, and creating quality jobs. This significant investment in America’s infrastructure and clean energy future also includes the expansion of offshore wind energy to additional areas nationwide.

The Final Sale Notice (FSN), set to publish in the Federal Register on July 21, 2023, details the leasing provisions, conditions, and auction specifics. It also identifies the companies qualified for participation in the lease auction. The proposed lease area consists of a 102,480-acre area offshore Lake Charles, Louisiana, and two zones offshore Galveston, Texas, measuring 102,480 acres and 96,786 acres, respectively.

US Department of the Interior takes historic step towards 2030 offshore wind energy goal. Photo courtesy of Matthew G. Bisanz/Wikimedia Commons.

Earlier this year, the Proposed Sale Notice for offshore wind energy development in the Gulf of Mexico was announced, initiating a 60-day comment period during which BOEM received feedback regarding several lease stipulations. These stipulations are now part of the FSN and include provisions for bidding credits to contenders supporting workforce training programs and developing a domestic supply chain for the offshore wind energy industry.

In a statement, Secretary Deb Haaland said, “Today’s announcement marks another historic step in the Biden-Harris administration’s efforts to create a clean energy future. By catalyzing the offshore wind energy potential of the Gulf of Mexico, we can tackle the climate crisis, lower energy costs for families and create good-paying jobs.”

BOEM Director Elizabeth Klein added, “The Gulf of Mexico is poised to play a key role in our nation’s transition to a clean energy future. Today’s announcement follows years of engagement with government agencies, states, ocean users, and stakeholders in the Gulf of Mexico region. We look forward to continued collaboration in the years to come.”

By 2025, the BOEM expects to review at least 16 Construction and Operations Plans for commercial offshore wind energy facilities, representing more than 27 GW of clean energy. This supports the Biden-Harris administration’s progress towards developing a new clean energy industry while investing in workers, communities, and biodiversity protection.