Offshore Wind Development Projects 1 and 2 along the New Jersey coastline have been canceled
The Atlantic Shores Offshore Wind Project, initially proposed to generate up to 2,800 megawatts of clean renewable energy, has encountered significant setbacks. The project, which consists of two distinct offshore wind energy projects, Atlantic Shores Projects 1 and 2, aimed to contribute to New Jersey's goal of achieving 100% clean energy by 2035.
However, as of August 2025, the Atlantic Shores Offshore Wind Project 1 has been terminated by the New Jersey Board of Public Utilities (BPU). The developer requested termination of its Offshore Renewable Energy Certificate (OREC) award due to a combination of federal regulatory uncertainties, financial challenges, and operational difficulties. Key factors included the federal government's January 2025 "Wind Memorandum" halting new offshore wind permits and the Environmental Protection Agency’s remand of the project's vital air permit, which legally blocks construction. Consequently, Atlantic Shores paused construction plans and canceled related agreements, rendering the project unviable.
The JCP&L Transmission Upgrade, intended to facilitate offshore wind energy, has also faced delays. The New Jersey BPU has pushed back this project's operational date by about 2.5 years, with the new expected in-service date being January 1, 2033, postponed from the original June 1, 2030 target. This delay is attributed to federal policy uncertainty and the need to protect ratepayers.
The Atlantic Shores Projects 1 and 2, if successful as per the projected specifications, would have been the largest offshore wind farm in the US. The projects would have included up to 10 offshore substations, one meteorological tower, up to four temporary meteorological and oceanographic buoys, inter-array cables, up to two onshore substations, one operations and maintenance facility, and up to eight transmission cables. The wind turbine generators, offshore substations, array cables, and substation inter-connector cables would have been located approximately 8.7 miles from the New Jersey shoreline at its closest point.
The Atlantic Shores Offshore Wind has received Construction and Operations Plans (COP) approvals from the Bureau of Ocean Energy Management (BOEM) for Atlantic Shores Projects 1 and 2. The projects were expected to create jobs for the people of New Jersey, stimulate an economic boom from low-cost energy, and help New Jersey achieve its clean energy goals.
Despite the setbacks, the construction of Atlantic Shores Project 2 is still expected to commence in 2025, with the contractor aiming for the project to be operational by 2028. The projects, if completed, would deliver zero-carbon energy to New Jersey, enough to serve more than a third of the more than 3 million New Jersey homes.
References: 1. Link to Reference 1 2. Link to Reference 2 3. Link to Reference 3 4. Link to Reference 4 5. Link to Reference 5
- The termination of the Atlantic Shores Offshore Wind Project 1, due to a combination of factors such as federal regulatory uncertainties, financial challenges, and operational difficulties, has forced a shift in the focus towards the construction of Atlantic Shores Project 2.
- The environmental science and energy industries have been anticipating the commencement of the Atlantic Shores Project 2, as it holds promise for job creation, stimulating the economy, and contributing to New Jersey's goal of achieving 100% clean energy by 2035.
- The success of Atlantic Shores Project 2, which includes up to 10 offshore wind turbine generators, could potentially position the environmental-science sector and the space-and-astronomy field for advancements in renewable energy research and finance.
- The delay in the JCP&L Transmission Upgrade project, along with the termination of Atlantic Shores Project 1, has raised concerns about the industry's ability to meet New Jersey's clean energy goals and the potential impact on the state's energy supply and finance.
