Avangrid Celebrates Cape Cod Grid Upgrades Supported by New England Wind 1 Project

Rhea-AI Summary

Avangrid, a sustainable energy company, announced the completion of Phase 1 of the Cape Cod Solution grid upgrade in Massachusetts, investing over $13.7 million. This upgrade, part of the New England Wind 1 project, enhances reliability and resiliency by converting a 115kV line to 345kV between Bourne and West Barnstable. Future upgrades will further support this transformation. New England Wind 1 aims to provide clean energy to approximately 400,000 homes and create over 4,400 jobs. The project has received necessary approvals and is poised to commence construction in 2024, potentially achieving commercial operations by the end of the decade. The initiative aligns with state climate goals and promises significant economic and environmental benefits for the region.

Positive

• Avangrid invested $13.7 million in Cape Cod grid upgrades.
• New England Wind 1 project enhances grid reliability and resiliency.
• The project will provide clean energy to approximately 400,000 homes.
• Over 4,400 jobs will be created by the New England Wind 1 project.
• Necessary regulatory approvals have been secured, including a Record of Decision and Construction and Operations Plan.
• The project supports state climate targets for 2030.
• Potential $3 billion direct investment in the region.
• New England Wind 1 will reduce emissions equivalent to removing 300,000 cars from the road annually.

Negative

• Initial operation of the new line at 115kV instead of 345kV until Phase II upgrades.
• The Cape Cod grid upgrade requires further investments for full completion.
• Dependency on approval from the multi-state procurement process in August 2024.

As part of Transmission Support Agreement and Large Generator Interconnection Agreement, Avangrid Invested $13.7 Million to Support Cape Cod Solution Phase 1 Grid Upgrades

BOSTON--(BUSINESS WIRE)-- Avangrid, Inc. (NYSE: AGR), a leading sustainable energy company and member of the Iberdrola Group, today joined local officials to participate in a ribbon cutting for Eversource’s Cape Cod Solution Phase 1 grid upgrade in Bourne, Massachusetts. As part of its New England Wind 1 project, Avangrid provided more than $13.7 million in critical funding for grid upgrades as part of the Transmission Support Agreement and Large Generator Interconnection Agreement with Eversource, supporting enhanced reliability and resiliency on Cape Cod while providing the necessary infrastructure for the project to deliver clean, reliable power across the region.

“As the most advanced offshore wind opportunity in the region, New England Wind 1 is already delivering significant benefits by supporting critical grid upgrades on Cape Cod that will not only provide a transmission backbone for the project, but deliver a more reliable and resilient electric system,” said Avangrid CEO Pedro Azagra. “Our experience constructing Vineyard Wind 1 makes clear how important it is to have the onshore infrastructure in place to deliver the clean power from offshore wind. The completion of these Cape Cod Solution Phase 1 upgrades, along with future investments through our Transmission Support Agreement, moves New England Wind 1 even closer to delivering power before the end of the decade.”

The New England Wind 1 System Impact Study identified the uprate to 345kV of a 115kV transmission line connecting the Bourne Switching Station and the West Barnstable Substation as a necessary grid upgrade. With more than $13.7 million in funding from Avangrid, the line was converted into a 345 kV line, running from the Bourne Substation to the West Barnstable Substation. The new line will be initially operated at 115kV until the 345kV GIS substations at Bourne and West Barnstable are built as part of Phase II of New England Wind 1’s grid upgrades. With increased capacity and additional planned upgrades, the Cape Cod electric grid will realize significantly enhanced reliability and resiliency from investments supported by New England Wind 1.

Avangrid signed a Transmission Support Agreement (TSA) for New England Wind 1 with Eversource, and received approval from the Federal Energy Regulatory Commission. The Large Generator Interconnection Agreement (LGIA), executed with Eversource and ISO-NE, details the terms and conditions for interconnection service administered by the regional grid operator, and positions New England Wind 1 to deliver this critical power to the regional grid. Additionally, Avangrid has also entered into a Host Community Agreement with the Town of Barnstable for the New England Wind 1 project to make landfall at Craigville Beach and connect the power to the Eversource substation in West Barnstable.

In March 2024, Avangrid submitted multiple proposals for the New England Wind projects to the Massachusetts-Rhode Island-Connecticut Multi-State Procurement for Offshore Wind. The states are anticipated to announce selected projects from the competitive procurement in August 2024.

New England Wind 1 is an exceptionally advanced and shovel-ready project in federal lease area OCS-A 0534, roughly 30 miles south of Barnstable, Massachusetts and making landfall under the Craigville Beach parking lot. The project will border Vineyard Wind 1 to the south.

New England Wind 1 offers extraordinary certainty and viability. In addition to securing its interconnection and advancing critical grid upgrades, in April 2024 the Department of the Interior announced a Record of Decision (ROD) approving the project, with approval of the project’s Construction and Operations Plan in July 2024. The ROD builds on the project’s complete state, regional, and local permitting, as well as a signed a Project Labor Agreement with the Massachusetts Building Trades. If selected in the current competitive procurement, the project can begin construction as soon as next year and achieve commercial operations before the end of the decade, helping achieve ambitious 2030 state climate targets set by the New England states.

New England Wind 1 also offers transformational economic opportunities for the region, including catalyzing a new staging and assembly port in Salem; bringing an offshore wind davit crane manufacturer to New Bedford, Massachusetts; locating Operations and Maintenance facilities in Bridgeport, Connecticut and New Bedford; and delivering an offshore wind training hub with Survival Systems USA at the Port of Davisville in North Kingstown, Rhode Island.

New England Wind 1 offers enough clean, reliable energy to power approximately 400,000 homes and reduce emissions equivalent to taking 300,000 gasoline-based cars off the road annually. The project will create more than 4,400 full-time equivalent jobs, and bring $3 billion of direct investment to the region.

In February 2024, Avangrid announced that it has powered up the first five turbines for the nation-leading Vineyard Wind 1 project, delivering clean energy to 30,000 homes and businesses in Massachusetts. The first large-scale offshore wind project in the United States, Vineyard Wind 1 will be the largest renewable energy facility in New England once fully operational.

Vineyard Wind began offshore construction in late 2022, achieved steel-in-the-water in June 2023, and completed the nation’s first offshore substation in July 2023. Construction flows through the New Bedford Marine Commerce Terminal. In July 2021, Vineyard Wind signed the first Project Labor Agreement for an offshore wind project in the United States, which outlined the creation of 500 union jobs through the project. In December 2023, project shareholders announced that Vineyard Wind 1 has delivered nearly double of its commitment through the PLA by creating 937 union jobs through two years of construction.

An 806-megawatt project located 15 miles off the coast of Martha’s Vineyard, Vineyard Wind will generate electricity for more than 400,000 homes and businesses in the Commonwealth of Massachusetts, create 3,600 Full Time Equivalent (FTE) job years, save customers $1.4 billion over the first 20 years of operation, and is expected to reduce carbon emissions by more than 1.6 million metric tons per year, the equivalent of taking 325,000 cars off the road annually.

About Avangrid: Avangrid, Inc. (NYSE: AGR) aspires to be the leading sustainable energy company in the United States. Headquartered in Orange, CT with approximately $45 billion in assets and operations in 24 U.S. states, Avangrid has two primary lines of business: networks and renewables. Through its networks business, Avangrid owns and operates eight electric and natural gas utilities, serving more than 3.3 million customers in New York and New England. Through its renewables business, Avangrid owns and operates a portfolio of renewable energy generation facilities across the United States. Avangrid employs approximately 8,000 people and has been recognized by JUST Capital as one of the JUST 100 companies – a ranking of America’s best corporate citizens – in 2024 for the fourth consecutive year. In 2024, Avangrid ranked first among utilities and 12 overall. The company supports the U.N.’s Sustainable Development Goals and was named among the World’s Most Ethical Companies in 2024 for the sixth consecutive year by the Ethisphere Institute. Avangrid is a member of the group of companies controlled by Iberdrola, S.A. For more information, visit www.avangrid.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240522602644/en/

Media Contact:



Craig Gilvarg, Director of External Communications

craig.gilvarg@avangrid.com

(857) 998-1130

Source: AVANGRID, Inc.

FAQ

What is the investment amount Avangrid made for Cape Cod grid upgrades?

Avangrid invested $13.7 million in the Cape Cod grid upgrades.

How does the New England Wind 1 project benefit the grid?

The project enhances grid reliability and resiliency by converting a 115kV transmission line to 345kV.

How many homes will New England Wind 1 power?

New England Wind 1 will provide clean energy to approximately 400,000 homes.

How many jobs will be created by New England Wind 1?

The project will create over 4,400 jobs.

What approvals has New England Wind 1 received?

The project received a Record of Decision and Construction and Operations Plan approval.

When will New England Wind 1 potentially begin construction?

Construction could begin as soon as 2024.

What is the expected commercial operation date for New England Wind 1?

The project aims to achieve commercial operations by the end of the decade.

What is the environmental impact of New England Wind 1?

The project will reduce emissions equivalent to taking 300,000 cars off the road annually.

How much direct investment will New England Wind 1 bring to the region?

The project is expected to bring $3 billion of direct investment.