Dominion announces cost increase for offshore wind project

One of the Commonwealth’s largest energy providers has announced several changes to a project to generate 2.6 gigawatts of energy through wind turbines installed in the Atlantic Ocean just off the coast.

“Estimated total project costs, inclusive of contingency and excluding financing costs, have increased [around] nine percent, from $9.8 billion to $10.7 billion,” reads an information release sent out on February 3 by Dominion Energy.

The release also states the Coastal Virginia Offshore Wind project is fifty percent complete and is expected to be completed at the end of 2026. In all there will be 176 wind turbines and three 4,300-ton off shore substations. Each turbine can generate 14.7 megawatts, which a FAQ states can general power for up to 660,000 homes.

The turbines will be located in an area that that begins about 27 miles off shore.

The first of those substations has been delivered alongside other fabricated components such as monopiles, undersea cables, and transition pieces. A wind turbine installation vessel called the Charybdis is undergoing sea trials in Brownsville, Texas.

The release explains one reason for the increase is due to the need to upgrade the network that regional electric grid operator PJM to accept the energy.

“Higher network upgrade cost estimates by PJM reflect the significant increase in demand growth that require incremental generation and transmission resources across the system,” the release continues.

These upgrades are not expected to impact the project timeline. To learn more about the project visit the Coastal Virginia Offshore Wind website.

Before you go: This article was originally sent out as part of the Charlottesville Community Engagement newsletter in the February 4, 2025 edition. Both are functions of Town Crier Productions. You can support the work by purchasing a paid subscription or contributing monthly through Patreon. You can also send in a check or send an email, but drop me a line first!