August 6 (Renewables Now) - Dominion Energy Inc (NYSE:D) on Friday said it has filed with Virginia's State Corporation Commission (SCC) for approval for the 12-MW Coastal Virginia Offshore Wind (CVOW) project and the needed grid infrastructure.
The wind farm, comprised of two 6-MW turbines, will be built in a federal lease area about 27 miles (43.5 km) off the coast of Virginia Beach. The total cost of the project, including generation and distribution interconnection facilities, is estimated at USD 300 million (EUR-259m) and will be funded through existing base rates, Dominion said.
The offshore wind farm will be built by Ørsted (CPH:ORSTED) of Denmark for Dominion Energy Virginia. Subject to securing regulatory approvals, onshore construction is to start next year, with power generation planned to start before the end of 2020.
Ørsted said last week that a research vessel will conduct the final ocean floor mapping needed before construction of CVOW can commence.
“This project will provide us vital experience in constructing an offshore wind project in the United States and serve as a stepping stone to a larger commercial-scale partnership between our companies in the future,” said Ørsted's North American President, Thomas Brostrøm.
The demonstration project will provide permitting, construction and operational experience for the development of an adjacent wind lease area of 112,800 acres. That lease is held by Dominion Energy and could accommodate up to 2,000 MW of turbines, if fully developed.