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Released October 24, 2024 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Despite a federal U.S. report suggesting short-term headwinds for offshore wind, renewable energy company Avangrid Incorporated (NYSE:AGR) (Orange, Connecticut) posted a major increase in revenue from its renewable energy division.
It's been a good year for the company servicing consumers along the U.S. East Coast. The company on Wednesday reported net income for the three-month period ending September 30 of $205 million, compared with $53 million over the same period in 2023.
For the first nine months of the year, the company posted an 86% improvement over year-ago levels with $725 million in consolidated net income. Pedro Azagra, the company's chief executive officer, said returns were in line with expectations, but gains are on the horizon.
"We are successfully executing on our multi-year rate plans in New York and Maine and continue to construct onshore wind and solar clean energy projects," he said.
Avangrid has already secured offtake agreements in Massachusetts for energy from its New England 1 offshore wind farm, a few months after it received federal approval for its construction and operations plans for the project.
From the first phase alone, Avangrid said it is expecting a peak capacity of 791 megawatts (MW). The first phase is considered shovel-ready, with construction slated to begin by next year. It could be up and running and sending power to shore by 2029. Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can click here for the related project reports.
That followed Avangrid's claim to the lead position in offshore wind energy capacity after the first 10 turbines for the Vineyard Wind facility offshore Massachusetts started spinning in June.
Vineyard Wind has an initial capacity of 136 MW, which Avangrid said was enough to power more than 60,000 homes. Subscribers can click here for the related project report.
Renewables accounted for about 60% of total net income for Avangrid.
The federal government has moved quickly on building up the offshore wind energy sector by putting new areas for offshore wind on the auction block and introducing newly-sanctioned projects, with consideration given this week for six potential wind-energy lease areas covering more than 488,000 acres off the coasts of New Jersey and New York.
If fully utilized, the government expects the area could support the development of 7 gigawatts (GW) of wind energy, putting the United States one step closer to President Joe Biden's goal of establishing 30 GW offshore by 2030.
As of today, however, there are only three functioning offshore wind farms in the United States, with a combined design capacity that's barely 1% of Biden's goals. And a report from the National Renewable Energy Laboratory (NREL) found that short-term developments could be hampered by inflationary cost increases.
NREL, however, found the long-term horizon was more promising. While the United States is far behind its peer economies in terms of offshore wind installation, NREL found there are more than 27 GW of offshore wind projects that are at or beyond the permitting phase, painting a bright picture for the likes of Avangrid. For more on that, see October 23, 2024, article - Short-Term Future for U.S. Offshore Wind Looks Slow.
Subscribers can click here for the project reports mentioned in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
It's been a good year for the company servicing consumers along the U.S. East Coast. The company on Wednesday reported net income for the three-month period ending September 30 of $205 million, compared with $53 million over the same period in 2023.
For the first nine months of the year, the company posted an 86% improvement over year-ago levels with $725 million in consolidated net income. Pedro Azagra, the company's chief executive officer, said returns were in line with expectations, but gains are on the horizon.
"We are successfully executing on our multi-year rate plans in New York and Maine and continue to construct onshore wind and solar clean energy projects," he said.
Avangrid has already secured offtake agreements in Massachusetts for energy from its New England 1 offshore wind farm, a few months after it received federal approval for its construction and operations plans for the project.
From the first phase alone, Avangrid said it is expecting a peak capacity of 791 megawatts (MW). The first phase is considered shovel-ready, with construction slated to begin by next year. It could be up and running and sending power to shore by 2029. Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can click here for the related project reports.
That followed Avangrid's claim to the lead position in offshore wind energy capacity after the first 10 turbines for the Vineyard Wind facility offshore Massachusetts started spinning in June.
Vineyard Wind has an initial capacity of 136 MW, which Avangrid said was enough to power more than 60,000 homes. Subscribers can click here for the related project report.
Renewables accounted for about 60% of total net income for Avangrid.
The federal government has moved quickly on building up the offshore wind energy sector by putting new areas for offshore wind on the auction block and introducing newly-sanctioned projects, with consideration given this week for six potential wind-energy lease areas covering more than 488,000 acres off the coasts of New Jersey and New York.
If fully utilized, the government expects the area could support the development of 7 gigawatts (GW) of wind energy, putting the United States one step closer to President Joe Biden's goal of establishing 30 GW offshore by 2030.
As of today, however, there are only three functioning offshore wind farms in the United States, with a combined design capacity that's barely 1% of Biden's goals. And a report from the National Renewable Energy Laboratory (NREL) found that short-term developments could be hampered by inflationary cost increases.
NREL, however, found the long-term horizon was more promising. While the United States is far behind its peer economies in terms of offshore wind installation, NREL found there are more than 27 GW of offshore wind projects that are at or beyond the permitting phase, painting a bright picture for the likes of Avangrid. For more on that, see October 23, 2024, article - Short-Term Future for U.S. Offshore Wind Looks Slow.
Subscribers can click here for the project reports mentioned in this article and click here for the related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
