Dominion Energy Achieves Key Environmental Regulatory Milestone for Coastal Virginia Offshore Wind Commercial Project

Rhea-AI Summary

The Bureau of Ocean Energy Management has released a draft Environmental Impact Statement (EIS) for Dominion Energy's Coastal Virginia Offshore Wind (CVOW) project, a 2.6-gigawatt initiative capable of powering 660,000 homes. A public comment period will last 60 days from December 16, 2022. The project is on schedule for offshore construction in 2024, with completion expected by late 2026. The $9.8 billion investment is projected to save Virginia customers up to $6 billion over the first decade. CVOW aims to create hundreds of jobs and plays a key role in the state’s clean energy goals.

Positive

• CVOW project will power up to 660,000 homes.
• Projected savings for Virginia customers could reach $6 billion over 10 years.
• On schedule for offshore construction in 2024, concluding by late 2026.
• Expected to create hundreds of jobs during construction and over a thousand during operations.

Negative

• None.

• Bureau of Ocean Energy Management issues draft Environmental Impact Statement for Coastal Virginia Offshore Wind (CVOW) commercial project
• Public comment period on environmental review is open for 60 days
• CVOW remains on schedule to begin offshore construction in 2024 and is expected to conclude in late 2026

RICHMOND, Va., Dec. 12, 2022 /PRNewswire/ -- Dominion Energy's Coastal Virginia Offshore Wind (CVOW) commercial project reached a major regulatory milestone today when the Bureau of Ocean Energy Management (BOEM) announced the availability of the draft Environmental Impact Statement (EIS) for the 2.6-gigawatt project planned off the Virginia Beach coast that will generate enough clean, renewable energy to power up to 660,000 homes.

The draft environmental analysis will publish in the Federal Register on December 16, 2022, opening a 60-day public comment period that ends at 11:59 p.m. ET on February 14, 2023. Feedback on the draft EIS will inform BOEM's preparations for the final EIS. Dominion Energy initially filed its Construction and Operations Plan with BOEM in December 2020, kicking off the environmental review.

"This is a major milestone that keeps CVOW on time and on budget for the benefit of Dominion Energy Virginia customers," said Bob Blue, Dominion Energy's chair, president and chief executive officer. "Offshore wind offers many benefits for Virginia - it's emissions-free, fuel-free and transformational for the Hampton Roads economy. We look forward to working with federal regulators and the public to ensure the project is fully protective of the environment."

The draft EIS reflects the extensive studies, evaluations and design to maximize CVOW's environmental benefits and minimize potential impacts. This includes actions taken offshore to construct the wind turbine generators to minimize impacts to marine life, such as North Atlantic Right Whales, and actions taken onshore to design a transmission route that avoids impacts to natural resources to the maximum extent possible.

Dominion Energy is proposing to construct 176 14.7-megawatt Siemens Gamesa Renewable Energy wind turbines and three offshore substations in a 112,800-acre commercial lease area located 27 miles off the Virginia Beach coast. Offshore construction is scheduled to begin in 2024 and conclude in late 2026.

CVOW represents a clean-energy investment of approximately $9.8 billion. As a renewable energy resource, offshore wind turbines have no fuel costs, which is especially beneficial considering the fluctuations in fuel costs across the country. The project is expected to save Virginia customers more than $3 billion during its first 10 years in operation. However, if these ongoing commodity market pressure trends continue, those savings could total up to nearly $6 billion – almost double the savings.

Offshore wind's economic development and jobs benefits are transformative for Hampton Roads and the Commonwealth, including diverse communities. CVOW is expected to create hundreds of direct and indirect jobs during construction and more than a thousand during operations, while attracting companies to make investments to make Virginia a hub for offshore wind.

In addition to solar, energy storage and nuclear, offshore wind is a key component to diverse energy generation strategy to meet the Commonwealth's clean energy goals and Dominion Energy's own Net Zero target. Offshore wind complements the company's growing solar portfolio in Virginia, since offshore wind and solar generate peak energy at different times throughout the day and year.

About Dominion Energy

About 7 million customers in 15 states energize their homes and businesses with electricity or natural gas from Dominion Energy (NYSE: D), headquartered in Richmond, Va. The company is committed to safely providing reliable, affordable and sustainable energy and to achieving Net Zero emissions by 2050. Please visit DominionEnergy.com to learn more.

This news release includes certain "forward-looking information." Examples include information as to expectations, beliefs, plans, goals, objectives and future financial or other performance or assumptions concerning matters discussed in this release. Our business is influenced by many factors that are difficult to predict, involve uncertainties that may materially affect actual results and are often beyond our ability to control or estimate precisely.  We have identified and will in the future identify in our SEC Reports on Forms 10-K and 10-Q a number of factors that could cause actual results to differ from those in the forward-looking statements. We refer you to those discussions for further information. Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made.

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SOURCE Dominion Energy

FAQ

What is the Coastal Virginia Offshore Wind project?

The Coastal Virginia Offshore Wind project is a 2.6-gigawatt offshore wind initiative by Dominion Energy, aimed at generating renewable energy to power approximately 660,000 homes.

What is the significance of the draft Environmental Impact Statement for the CVOW project?

The draft Environmental Impact Statement is a key regulatory milestone that outlines potential environmental effects and is essential for moving forward with the project.

When does the public comment period for the draft EIS end?

The public comment period for the draft Environmental Impact Statement ends at 11:59 p.m. ET on February 14, 2023.

How much is Dominion Energy investing in the CVOW project?

Dominion Energy is investing approximately $9.8 billion in the Coastal Virginia Offshore Wind project.

What are the expected job benefits from the CVOW project?

The CVOW project is expected to create hundreds of jobs during construction and over a thousand jobs during its operational phase.