McCrory administration sends mixed signals on wind power

In a recent comment letter from DENR Secretary Don van der Vaart to the federal Bureau of Ocean Energy Management (BOEM), the McCrory administration went on record requesting that offshore wind projects not be allowed within 24 nautical miles of the North Carolina coast. If the recommendation were to be accepted by BOEM, it would effectively stop most offshore wind development for North Carolina.

The letter contrasts with previous statements from Governor McCrory to the same federal agency in support of wind development off our coast. In 2013, the governor sent a letter to the Bureau of Ocean Energy Management (BOEM) in support of moving forward with the leasing process for offshore wind development. In that letter, Governor McCrory wrote:

"I believe an ‘all of the above’ energy plan that includes wind is vital to a prosperous energy future in North Carolina … Development of North Carolina's offshore wind energy resources is not just good for this state's economy, but it will continue to fulfill work toward an ‘all of the above’ strategy to move our nation toward greater energy independence." 

In stark contrast, DENR Secretary Don van der Vaart’s letter sent to BOEM on February 23 makes recommendations that  would severely limit offshore wind leases by limiting construction to areas that are at a greater distance, in deeper water,  less accessible, and thus less likely to be developed.

Secretary van der Vaart’s letter asserts that, “(f)our independent studies commissioned by the State of New Jersey found that a significant decline in tourism and a net loss to the state’s economy would occur where offshore energy projects were visible from the coastline.”

However, none of the studies are listed by name for reference, and Sierra Club was unable to find studies actually commissioned by the State of New Jersey that made any claim that offshore wind would lead to a ‘significant decline in tourism.’

To the contrary, the only study we could find commissioned by the state that directly addressed the impact on tourism is An Assessment of Potential Costs and Benefits of Offshore Wind Turbines. This report was commissioned by the NJ Department of Tourism in 2008 and prepared by the company Global Insight. It projects that there could be small drops in tourism and revenue if  turbine installations were to be installed 3 to 6 NM from shore. However, for offshore wind installations of 12 or more nautical miles, the report actually projects economic and tourism gains. All of North Carolina’s lease blocks are at least 10 nautical miles from shore.

Particularly noteworthy is that Sec. van der Vaart’s letter does not reference a study conducted in North Carolina by East Carolina University and Appalachian State University professors. The North Carolina study finds no evidence that coastal tourism would be adversely impacted by offshore wind development located more than 4 nautical miles from land.

In addition, we note that in 2010, New Jersey Governor Chris Christie (R) signed the Offshore Wind Economic Development Act and stated that the bill would "provide New Jersey with an opportunity to leverage our vast resources and innovative technologies to allow businesses to engage in new and emerging sectors of the energy industry."

The offshore areas proposed for potential wind leasing are the result of a four year state and federal process to identify locations that are free from conflicts with other uses, including military operations, fishing, and environmentally sensitive areas. Limiting the distance for offshore leasing to more than 24 nm off the North Carolina coast would eliminate the vast majority of those conflict-free areas, reduce the likelihood of any offshore wind development, and  preclude the likelihood of investment from manufacturers looking to serve the wind energy supply chain.

In response to Sec. van der Vaart’s letter, Molly Diggins, state director for the NC Sierra Club issued the following response:

“The Governor is in a unique position, as chairman of the Outer Continental Shelf Governors Coalition, to educate and promote the value of clean offshore energy development from wind.”

“We share the concerns expressed to protect coastal tourism, an economic engine for the region and the state. But we note that the McCrory administration has not expressed similar concerns about the potential for the very real threats to our coast and fisheries from oil spills. In fact, the Governor has called for allowing oil rigs closer to the coast than currently proposed.”

“It’s clear that the McCrory administration wishes to declare North Carolina open for business for offshore drilling. What is not clear is if this letter is intended to close the door for clean offshore energy development.”

“We call for the Governor to reaffirm his support for offshore wind.”