Editor's Note: Today Kent is going to tell you about a key development in wind power that's about to unlock millions in profits. But we also want to make sure you get his just-released report on an energy discovery much bigger than wind. This technology is so powerful it could unleash a 36,000-year supply of free energy. Kent has just uncovered the best way to play it – continue reading the full story here.
Worldwide growth in the offshore wind industry has been astonishing. The National Renewable Energy Laboratory estimates that the 11.8 gigawatts of offshore wind power the world is expected to have by the end of 2015 will grow to more than 47 gigawatts by 2020.
So far the global boom in offshore wind power has bypassed the United States.
But the truth is that the U.S. has an incredible 4.223 terawatts of offshore wind power potential, including 50 gigawatts from Lake Erie itself. That's four times as much power generation capacity as the U.S. currently has installed.
Yet only one commercial-scale offshore wind project has so far been successful enough to begin construction.
But now things are starting to look up for offshore wind in the United States…
Wind's Biggest Obstacle Is Coming Down
Until recently, the main obstacle preventing the further development of offshore wind power in the United States was the confusing and overlapping regulatory responsibilities of federal and state agencies.
But changes in policy and the cooperation of government entities with overlapping jurisdictions have resulted in large improvements to the siting and permitting process for offshore wind, and the regulatory gauntlet should no longer be a main cause of concern for offshore wind companies moving forward.
This was shown by the first U.S. offshore wind project to begin construction, the Block Island Wind Farm project led by Deepwater Wind LLC. This wind farm, to be located 3 miles from Block Island in Rhode Island, will provide 30 megawatts of wind power from five wind turbines.
The wind turbines are designed to withstand a Category 3 hurricane and will decrease the price of power on Block Island, which has until now generated its power using diesel imported from the mainland.
When the project begins commercial operations in the fourth quarter of 2016, it will be the first operational U.S. offshore wind farm and will provide 15% of all electricity used in Rhode Island.
And this is just the first of many U.S. offshore wind projects in the pipeline. There are at least 20 more projects, representing a total of 15.65 gigawatts of wind power, in the planning or design phases, with more than 3.3 gigawatts aiming for commercial operation by 2020.
And when you consider the advantages of offshore wind power, it makes a lot of sense…
About the Author
Dr. Kent Moors is an internationally recognized expert in oil and natural gas policy, risk assessment, and emerging market economic development. He serves as an advisor to many U.S. governors and foreign governments. Kent details his latest global travels in his free Oil & Energy Investor e-letter. He makes specific investment recommendations in his newsletter, the Energy Advantage. For more active investors, he issues shorter-term trades in his Energy Inner Circle.