Vineyard Wind has announced a partnership with Marmon Utility, a Marmon/Berkshire Hathaway company headquartered in Seymour, to create the first Tier 1 offshore wind supplier in the U.S.
The agreement calls for Marmon Utility to establish manufacturing capabilities at its Connecticut facility producing Kerite cables to supply some or all of the inter-array cable cores that will be needed for Park City Wind, the wind power project proposed by New Bedford, Massachusetts-based Vineyard Wind.
The agreement will go into effect if Vineyard Wind is awarded long-term contracts from Connecticut to provide 800MW or greater of offshore wind power in response to their 2019 solicitation. Under the planned partnership, Marmon Utility will invest up to $4 million to hire personnel and make equipment upgrades in its Kerite power cable facility that will allow the company to manufacture specific offshore inter-array cables needed for the Park City Wind project.
In turn, Vineyard Wind is committed to selecting Kerite cable brand as its preferred cable supplier for at least 50% of the project, which will make Kerite the first American Tier 1 Supplier in offshore wind.
The supply contract would lead to nearly $40 million in direct expenditures in Connecticut, while the Seymour facility expansion would create an estimated 35 permanent full-time equivalent (FTE) jobs. Over the next decade, the expanded facility could create up to 350 FTE jobs and almost $400 million in direct revenue in Connecticut.
The partnership “is an incredible opportunity for the state to truly develop a world-class offshore wind industry,” said Vineyard Wind CEO Lars Thaaning Pedersen. “Today”™s announcement is an exciting step in the right direction but it is only the beginning. Similar to the aerospace sector, we believe that manufacturers all over the state can be a part of this emerging industry, creating long-term jobs and economic opportunity for Connecticut residents.”
“A contract of this magnitude will create Connecticut manufacturing jobs, generate economic opportunity, and establish the Marmon Utility and our Kerite brand of power cables in the emerging renewable energy sector for decades to come,” said Angelo Santamaria, president of Marmon Utility, Power Cable.
Vineyard Wind submitted its Park City Wind proposal on Sept. 30 to the Connecticut Department of Energy and Environmental Protection (DEEP) in response to its 2019 solicitation for offshore wind facilities.
The Park City Wind proposal includes options to develop an up to 1,200 MW project, which will generate enough electricity to power 600,000 Connecticut homes.
Park City Wind could generate upward of $1.6 billion in direct economic benefits and create as many as 12,000 direct, indirect, and induced FTE jobs across Connecticut, the company said. The project will also save Connecticut ratepayers up to $1.1 billion in energy costs, while delivering a reliable source of fixed price, low cost renewable energy, according to Vineyard.
The company added that Park City Wind has the potential to establish Bridgeport ”“ often referred to as The Park City ”“ as an American hub for the emerging U.S. offshore wind industry.
Vineyard Wind will be devoted to facilitating the creation, development, growth and sustainability of a long”term offshore wind industry workforce in Connecticut to serve both Park City Wind and future offshore wind projects up and down the East Coast. To that end, the company”™s proposal includes up to $26.5 million worth of major workforce development initiatives, pilot programs, and research opportunities in partnership with many longstanding Connecticut institutions.
