Connecticut Governor Ned Lamont yesterday announced an agreement on a harbor development plan that will see State Pier in New London play a key role in New England’s developing offshore wind industry.
The Connecticut Port Authority and terminal operator Gateway, are partnering with Bay State Wind, a joint venture between Ørsted and Eversource, to redevelop State Pier through a combined public-private investment of $93 million to upgrade its infrastructure and heavy-lift capability. These upgrades will allow State Pier to meet the facility requirements of the offshore wind industry and will benefit the port’s long-term growth by increasing its capability to accommodate heavy-lift cargo.
A three-year first-phase development project will upgrade the facility infrastructure to meet the heavy-lift requirements of Ørsted and Eversource’s offshore wind components. Following this, Ørsted and Eversource will enter into a ten-year lease agreement granting their joint venture the use of State Pier for wind turbine generator assembly and staging.
The deal aligns with the Lamont administration’s plans to expand the use of carbon-free energy sources.
“Today’s announcement lays the foundation for Connecticut to play a leading role in the United States’ fast-growing offshore wind industry and supports our transition from older, dirtier fuel sources to clean, affordable, carbon-free energy,” Lee Olivier, Eversource Executive Vice President for Enterprise Energy Strategy and Business Development, said. “Our collaboration with the State of Connecticut, the Connecticut Port Authority, the City of New London and Gateway Terminal brings together the resources and expertise needed to redevelop the New London State Pier into a state-of-the-art offshore wind facility to help Connecticut reach its critical greenhouse gas reduction goals.”
“With this public-private partnership comes the significant opportunity for job creation, local investment, and economic benefits for southeastern Connecticut and the wider region,” Thomas Brostrøm, Ørsted President of North America and Ørsted U.S. Offshore Wind CEO, said. “We look forward to continue working with the state, the City of New London and our partners the Connecticut Port Authority and Gateway Terminal, as we drive towards a green economy, bring more sources of clean energy to Connecticut, and ultimately lower carbon emissions for our planet.”
Seabury Maritime LLC, a global maritime and transportation investment and merchant banking and industry advisory firm and an affiliate of Seabury Capital Group LLC acted as the transaction advisors to the Connecticut Port Authority in the public-private investment.
“We are excited to launch this new development phase for State Pier,” said Evan Matthews, Executive Director of the Connecticut Port Authority. “This is the way public-private partnerships are designed to work, and Seabury Maritime has been a valuable partner in helping our team achieve this new milestone. We look forward to working with our new partners to position Connecticut as a leader in the offshore wind industry and expand economic opportunity throughout the region.”