Sen. Stephanie Hansen, D-Middletown

legis.delaware.gov

Rep. Debra Heffernan, D-Bellefonte.

legis.delaware.gov

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By Joseph Edelen

DOVER — Delaware is one step closer to implementing an offshore wind procurement process after the House of Representatives’ environmental committee voted Tuesday to send the bill for final consideration on the chamber floor.

Senate Bill 265, also known as the Delaware Energy Solutions Act of 2024, would implement a framework for Delaware to procure offshore wind.

The process would align with the goal of reducing greenhouse emissions to at or below net-zero by Jan. 1, 2050 under the Climate Change Solutions Act of 2023.

If the state moves forward with an offshore wind project, the legislation ensures cost-per-megawatt cannot exceed 110% of the Delaware Benchmark Price, which is the average utilites has paid for renewable energy compliance over the prior three years.

When projects are being considered, solicitations must be for a contract term of 20 years and specify how the proposal would aid greenhouse gas reduction goals; avoid health impacts; benefit the state; cost state taxpayers; and impact Delaware’s electric transmission system.

The bill was amended twice before receiving passage in the Senate May 23. The first amendment removed an 800-megawatt minimum requirement for such projects procured by the State Energy Office and ensured that ratepayers of any utility “never bear the costs of any project alone.”

The second amendment placed with the bill required usage of project labor agreements during the solicitation process.

There was extensive debate and public comment on the bill Tuesday, with many elected opponents to the legislation stressing the proposal would be a financial blow to ratepayers.

Supporters of offshore wind - legislators and members of the public - also testified, stating that the legislation would help Delaware achieve its greenhouse gas reduction goals and create economic opportunity for the state.

During public comment, the vast majority of Delawareans who testified were in support of the measure, with only one member in opposition.

Following Senate Bill 265’s release from committee, it now heads to the ready list for consideration on the House floor.