Atlantic Shores Offshore Wind Project Remains Committed Despite Shell's Write-Off
Atlantic Shores, a joint venture between Shell Plc and EDF, continues to pursue New Jersey's first offshore wind project following Shell's recent write-off.
Shell's Write-Off
Shell's fourth-quarter earnings included a $1 billion write-off for Atlantic Shores, reflecting a strategic shift that does not align with the company's current goals. Shell is exploring options to monetize its stake in the venture.
Atlantic Shores' Commitment
Despite the write-off, Atlantic Shores remains dedicated to the project and is fulfilling its obligations under existing leases and permits. The project is expected to provide up to 2,800 megawatts of electricity, powering close to 1 million homes.
Challenges in Offshore Wind Sector
The broader offshore wind sector has faced economic challenges, including rising materials costs and supply chain delays. Several developers have made adjustments to power contracts, highlighting the industry's vulnerability.
Trump Administration and Offshore Wind
The industry faces additional uncertainty due to President Trump's opposition to certain offshore wind projects, leading to ongoing concerns about project viability.