Opponents Challenge Block Island Power Purchase Agreement

Opponents of the US first offshore wind farm are trying to overturn the power purchase agreement between the developer Deepwater Wind and utility National Grid.

Benjamin Riggs, Laurence Ehrhardt and the Rhode Island Manufacturers Association filed a case in federal court naming the costs as the main issue.

According to the agreement, National Grid would buy electricity at USD 497 million above market costs which would be paid by Rode Island ratepayers over the course of 20 years.

Member of the Rhode Island Manufacturers Association, Toray Plastics, has already tried to void the contract on several occasions with no luck.

The complaint states: “The PUC’s Order thus usurps FERC’s exclusive role in regulating wholesale transactions, disrupts the wholesale energy markets supervised by FERC, and does so in a manner calculated to favor a new generating facility in Rhode Island over out-of-state facilities that participate in the same regional wholesale markets.”

Jeffrey Grybowski, chief executive of Providence-based Deepwater Wind, responded: “This complaint is just as baseless as the last several complaints filed by Mr. Riggs that were quickly and summarily rejected by the proper authorities.”

The project entered the construction phase last month. Grybowski added this will not affect them: “The project is proceeding at full speed.”