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$500 Million Supply Chain Investment

New York State is seeking to invest $500 million to spur the establishment of an offshore wind supply chain in New York, working in collaboration with federal agencies and regional state partners as part of a shared vision for a U.S. supply chain. NYSERDA will distribute the available funding in phases to help attract and catalyze additional private funds for further development of the industry.

Up to $300 million of this funding was made available as part of the State’s third offshore wind solicitation (ORECRFP22-1), issued in 2022, to encourage partnerships between offshore wind developers and manufacturers. In October 2023, NYSERDA provisionally awarded three offshore wind projects for contract negotiations and provisionally awarded $300 million of New York State grant funding to GE Vernova and LM Wind Power for the development of nacelle and blade manufacturing facilities in New York’s Capital Region. In April 2024, NYSERDA announced that ORECRFP22-1 concluded, and no final awards were made. The $300 million in grant funding provisionally awarded to GE Vernova and LM Wind will be made available through a future supply chain solicitation, developed in coordination with NYSERDA’s fifth offshore wind solicitation. NYSERDA issued a Request for Information Link opens in new window - close new window to return to this page. to inform these solicitations on April 23, 2024. More information regarding plans for this funding is available below.

Up to $200 million will be awarded through the State’s first solicitation focused exclusively on offshore wind supply chain development, launched in April 2024. This Request for Proposals (RFP) was informed by feedback received through Request for Information SCIPRFI23-1 Link opens in new window - close new window to return to this page. in Fall 2023. More information on NYSERDA’s open supply chain solicitation is available below.

2024 Offshore Wind Supportive Manufacturing and Logistics Request for Proposals (Open)

Up to $200 million is being made available through the State’s first solicitation focused exclusively on offshore wind supply chain development, issued on April 23, 2024. Through this solicitation, Offshore Wind Supportive Manufacturing and Logistics Request for Proposals (OSWSCRFP24-1) Link opens in new window - close new window to return to this page., NYSERDA seeks to award proposals that support New York’s position as the regional hub for offshore wind. OSWSCRFP24-1 demonstrates NYSERDA’s support in building a supply chain that locates not only primary component manufacturing in New York State, but also bolsters supportive manufacturing and port infrastructure opportunities as well. In addition to satisfying regional demand, selected projects may serve as building blocks to support the location of major component manufacturing procured through future supply chain solicitations, enabling a supply chain ecosystem in New York.

OSWSCRFP24-1 specifically enables growth and localization of the offshore wind supply chain in New York by focusing on both port infrastructure and manufacturing facilities, with separate evaluation tracks for each.

Proposers to OSWSCRFP24-1 will be required to demonstrate how State funding will leverage significant private investments in supply chain projects and are encouraged to demonstrate that the funds awarded by the state are the final funds needed to develop a project.

OSWSCRFP24-1 Solicitation Schedule

Event Date (all times ET)
RFP Release Date April 23, 2024
Proposers’ Webinar (Slides Available Here Link opens in new window - close new window to return to this page.) May 7, 2024
Deadline for Submission of Written Questions May 14, 2024
Responses to Written Questions (Q&A Available Here [PDF]) June 11, 2024
NYSERDA Portal Open for Submissions  No later than July 23, 2024
Proposal Submission Deadline August 13, 2024, 3:00 p.m.
NYSERDA Award Notification Date Expected Late September 2024
Contract(s) Executed & Public Announcement Expected Q4 2024

 

Questions may be submitted via email to [email protected] with the subject “OSWSCRFP24-1 Question” by May 14, 2024.

OSWSCRFP24-1 Documents

Request for Information (Closed)

On April 23, 2024, NYSERDA released a Request for Information (OSWRFI24-1) Link opens in new window - close new window to return to this page. to gather stakeholder input and feedback on the issuance of an Offshore Wind Renewable Energy Certificate (OREC) Request for Proposals (RFP) and a coordinated $300 million supply chain Request for Qualifications (RFQL) and related RFP. Interested stakeholders were encouraged to review the RFI, available on our 2024 Solicitation webpage

ORECRFP24-1 & Future Supply Chain Solicitation

In response to stakeholder feedback received from OSWRFI24-1 Link opens in new window - close new window to return to this page., NYSERDA has developed a modified sequential approach to allow the offshore wind supply chain to develop in coordination with offshore wind energy projects, each on their own timeline. The approach includes three solicitations, beginning with the July 17, 2024 launch of the Offshore Wind Renewable Energy Certificate Request for Proposals (ORECRFP24-1 or “NY5”). Please note that this approach has been modified substantially compared with the approach described in OSWRFI24-1.

ORECRFP24-1

NY5 includes an obligation for the awarded projects to make use of the emerging supply chain in New York.

Request for Qualifications (RFQL)

The RFQL in Q3 of 2024 will qualify potential offshore wind manufacturing ports to participate in a planned supply chain RFP.

Supply Chain RFP

This RFP will offer at least $300 million and select the offshore wind port manufacturing project(s) providing the greatest value to New York and the best opportunity for the industry.

NY5 incorporates financial incentives to promote development and utilization of an emerging offshore wind supply chain in New York State that best meets the needs of industry. In contrast to the approach described in OSWRFI24-1, NY5 no longer includes a process for Proposers to make conditional purchase commitments for major components. Instead, as part of their proposal submission to NY5, offshore wind project developers (“Developers”) are obligated to a minimum of $100 million in direct investments in, or product purchases from, new manufacturing facilities in New York. The selected Developers are restricted from committing these funds until after NYSERDA has awarded contracts for the forthcoming Offshore Wind Major Component Supply Chain solicitation (OSWSCRFP24-2), which is currently being developed. This allows project(s) awarded under OSWSCRFP24-2 the opportunity to work with awarded Developers to secure commitments to buy the manufactured products or support the manufacturing facility through the application of the obligated $100 million.

Separately, an RFQL will be used to qualify a small number of New York ports that are in the best position to support offshore wind major component manufacturing. The RFQL, planned for release in Q3 of 2024, is different from the process that was proposed in OSWRFI24-1. It will assess various attributes of the port and its ability to support offshore wind major component manufacturing. It will also require commitments from those ports to help support the competitive development of the offshore wind manufacturing supply chain in New York. Ports selected through the RFQL will partner with offshore wind major component manufacturers. Only those ports qualifying through this RFQL process will be eligible to participate in the Offshore Wind Major Component Supply Chain RFP (OSWSCRFP24-2) and have access to at least $300 million in State funding.

OSWSCRFP24-2 will be released late in 2024, following the announcement of the RFQL awards, and seek bids for major component manufacturing at the RFQL-qualified ports. OSWSCRFP24-2 will be developed as a rolling solicitation with a planned series of due dates with the first submission deadline after the finalization of NY5 contracts. This will allow sufficient time for NY5-contracted Developers to engage with potential bidders to potentially support their bids. If an award is not made in the initial round, additional rounds will follow, allowing bidders a chance to refine and improve their bids. OSWSCRFP24-2 will make available at least $300 million in grant funding to support the upfront capital needs of major component manufacturing facilities and associated manufacturing port infrastructure. These large manufacturing facilities may be further supported by the opportunity to secure funds set aside by the awarded Developers as part of their NY5 submission. The purpose of the NY5-supported funding is to assist manufacturers in attaining the additional offtake commitments needed to justify the large upfront investment in a facility.

Details about the RFQL and OSWSCRFP24-2 will be made available with the release of each of the solicitations.

A webinar will be held on July 22, 2024, at 10:00 a.m. ET to provide more information on the offshore wind solicitation and coordinated supply chain RFP and RFQL approach. Those interested in the webinar can register here Link opens in new window - close new window to return to this page. and are encouraged to submit questions in advance to [email protected].