The U.S. Now Has Three Offshore Wind Projects in Production: Dominion’s Coastal Virginia, Orsted’s Revolution Wind, and Vineyard Wind: House GOP Members Propose Extending Wind Tax Credits Expected to Expire in July 2026

       In March, Dominion Energy’s Coastal Virginia Offshore Wind began generating electricity for the grid just days after Orsted’s Revolution Wind entered into service off the coast of Rhode Island. Days ago, it was announced that the Vineyard Wind project offshore Maine is fully up and running. Vineyard had already been producing electricity and played a key role in assuring winter reliability during the 2026 cold spell. As explained below by Heatmap AM’s by Alexander Kaufman, the stage is now set for Vineyard to produce power at affordable prices for power consumers:

“On Monday, Massachusetts Governor Maura Healey announced that Vineyard Wind had activated its electricity contracts with utilities, setting fixed prices for the 800-megawatt project 15 miles south of Martha’s Vineyard and Nantucket over the next 20 years. In a press release, Healey said the power purchase agreements will save Massachusetts ratepayers roughly $1.4 billion in electricity costs throughout these next two decades. “Throughout one of the coldest winters in recent history, Vineyard Wind turbines powered our homes and businesses at a low price and now that price goes even lower with the activation of these contracts,” Healey said in a statement. “Especially as President Trump is taking energy sources off the table and increasing prices with his war in Iran, we should be leaning into more American-made wind power.” Vineyard Wind first began selling power to the market in 2024, but at what The New Bedford Light called “fluctuating and at times higher prices.” As of this week and for the next year, the price will be set at $69.50 per megawatt-hour.

     While the biggest recent wind story seems to be the Trump DOI buying out offshore wind leases if the companies agree to invest in oil & gas projects instead, the U.S. wind industry, both onshore and offshore, continues to grow. The U.S. installed wind capacity is at 159.5 GW, of which 159.3 GW is onshore, with a mere 171 MW of offshore wind capacity online. However, offshore wind capacity is expected to grow to 4.2 GW by the end of the year, which means by the end of the year it will be “on the map” in terms of power generation. Many of us thought that Biden’s push for offshore wind was too ambitious, especially as borrowing costs skyrocketed, affecting project economics and triggering renegotiations of terms. Thus, if the Trump administration’s delays of wind projects and wind lease buyouts don’t expand, they will likely just affect some of the total number of projects. It seems clear that offshore wind may be scaled back, but it won’t be shut down. This is important for the fledgling infrastructure, supply chains, component manufacturing, and equipment buildout of a U.S. offshore wind industry. It needs to be supported, preferably by an unconstrained industry.

     Clean Technica’s Michael Barnard summarizes offshore wind project statuses:

“What the Trump administration tried to freeze through political interference, the courts largely refused to let die. Five of the country’s marquee offshore wind projects, Vineyard Wind 1, Revolution Wind, Sunrise Wind, Empire Wind 1, and Dominion Energy’s Coastal Virginia Offshore Wind project, all won preliminary court relief after the late 2025 federal suspension orders, and all remained in construction or forward motion by April 2026. Revolution Wind had already begun delivering power into New England, Vineyard Wind had entered initial operations, and Sunrise, Empire, and CVOW were all still advancing through construction, commissioning, and related offshore works. The point matters beyond the individual projects. Washington succeeded in injecting delay, cost, and uncertainty, but it did not erase the industrial reality that billions had already been committed, steel was already in the water, and state demand for large-scale offshore electricity had not disappeared because a hostile administration wished it so.”

     In partnership with the North America’s Building Trades Unions, four GOP House members introduced a bill to restore tax credits for wind, solar, hydrogen, and other clean energy technologies that were phased out by the One Big Beautiful Bill Act. The new bill, the American Energy Dominance Act, would remove the accelerated deadlines. The tax credits are currently set to expire in July 2026. Some have suggested that the bill is unlikely to pass unless or until the Democrats gain more seats in Congress, despite House Republicans sponsoring the bill. In March, Democrats introduced a bill to restore the same tax credits. Since both parties have introduced bills to restore the incentives, I am not sure why analysts are so sure the bills are not likely to succeed without a Democratic controlled Congress, but perhaps that is the case for now. I still think the incentives should be restored, but as a ratepayer, I do not think renewables should be overly supported or accelerated.  

    

 

 

References:

 

Vineyard Wind enters into full service. Heatmap AM. Alexander Kaufman. April 29. 2026.

America’s Wind Market Keeps Building Under Policy Pressure. Michael Barnard. Clean Technica. April 17, 2026. America’s Wind Market Keeps Building Under Policy Pressure - CleanTechnica

House Republicans introduce bill to extend renewables tax credits. Diana DiGangi. Utility Dive. Apri 27, 2026. House Republicans introduce bill to extend renewables tax credits | Utility Dive