Tax break for offshore wind energy developer Orsted narrowly approved in New Jersey Legislature

TRENTON, N.J. — A bill to let Danish offshore wind energy developer Orsted keep tax credits that it otherwise would have to return to New Jersey ratepayers was approved by the slimmest of margins in the state Legislature Friday afternoon and went to the desk of Gov. “When Orsted received approval to build Ocean Wind 1, they agreed to apply for and return to ratepayers any federal tax incentives that might become available to offset the higher costs that ratepayers are paying today for the development of wind energy,” said Sen. Edward Durr, a Republican. The federal 2022 Inflation Reduction Act is “designed to further spur investment in the American clean energy economy in the face of continuing macroeconomic challenges,” according to the bill, which was Assembly Majority Leader Louis Greenwald, a Democrat, said the wind farms will create jobs for skilled trades workers and would not be as visible as many people fear, being located 15 miles offshore. Orsted is the only company that would benefit from the bill, which applies to the first of two offshore wind projects Orsted plans for the waters off New Jersey.