A crane stacks turbine components at the New London State Pier Terminal. The offshore wind sector has brought millions of dollars into the local economy recently.
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New London, Connecticut, is a historic New England port city that enjoyed prosperity around 200 years ago, during a distinct era.
“Since the whaling era, things have plummeted in New London,” Mayor Michael Passero quips. “We transitioned from the wealthiest city in Connecticut to one of its poorest.”
Passero, a Democrat who has held the mayoral office since 2015, is a native of New London. He recalls the community being often described as having immense potential, perpetually on the verge of something great. Finally, he notes, in recent years, that potential is beginning to manifest. New London, he asserts, is on the verge of a significant revival.
As he strolls through the compact downtown, Passero highlights the new residential complexes and eateries — a trendy pizzeria, a lively brewery. His excitement amplifies as he shares details about the 60,000-square-foot recreation center the city is constructing.
“In the past five or six years, we’ve managed to fill spaces that had remained vacant for half a century,” he states.
Passero credits New London’s resurgence to two central factors: the expansion of the submarine industry and the emergence of offshore wind energy.
New London Mayor Michael Passero asserts that offshore wind has played a pivotal role in the city’s revitalization. Behind him is the State Pier Terminal, the core of the local industry.
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From a dock close to downtown, he gestures towards the local wind industry’s centerpiece: a new $310 million pier where massive turbines are partially assembled and loaded onto vessels for offshore installation.
The revitalization of the pier and its role as the launchpad for two of the country’s pioneering projects in offshore wind have created hundreds of jobs, contributing millions to the local economy.
A key question remains: Can this growth be sustained?
President Trump promised to “end” the U.S. offshore wind sector “on day one.” Since then, the future of the emerging industry is fraught with uncertainty.
The impact is significant — not just for New London, but for the entire Northeast, which is banking on the expansion of offshore wind energy. The states in the region have invested heavily in this industry, hoping it will meet rising electricity needs while driving economic development and achieving climate objectives.
Under President Biden, this approach received substantial backing: he viewed investments in offshore wind as crucial for addressing climate change, fostering job creation, and enhancing domestic manufacturing. The administration worked to expedite the permitting process for federal projects, and supported attractive tax credits in the 2022 Inflation Reduction Act to encourage wind developers and manufacturers to establish themselves in the U.S.
Despite facing some significant economic challenges, the offshore wind industry took off during Biden’s administration. By the conclusion of his term, 11 large-scale projects off the East Coast received full federal approval, several had begun construction, and the nation’s first utility-scale project was operating. Concurrently, a supply chain for manufacturing turbine components, underwater cables, and specialized vessels began to establish itself within the U.S.
The American Clean Power Association, a clean energy trade organization, released a report last summer indicating that companies have announced approximately $16 billion in investments towards offshore wind manufacturing, shipbuilding, and port development — activities that could sustain 56,000 jobs by the end of the decade.
“Those tens of thousands of jobs and billions of dollars invested are now potentially at risk,” remarks Kris Ohleth, director of the Special Initiative on Offshore Wind, a research organization supporting the sector.
Trump has been critical of offshore wind for decades. He has labeled wind turbines as “horrific” and falsely claimed that they can cause cancer. He has also alleged that the industry harms whales, although scientists contend there is no evidence to support this.
On his first day back in office, he signed an executive order halting all federal permits for new offshore wind initiatives and initiating a broad review of what he claims to be the industry’s potential environmental and economic repercussions.
“This has had a significant stifling impact on the offshore wind sector,” Ohleth states. “There is a significant degree of uncertainty and turmoil that is creating tangible obstacles and regression for the industry.”
Wind turbines are partially assembled at the New London State Pier Terminal. They will soon be loaded onto vessels for transport to the offshore wind farm for installation.
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Since late January, several wind developers have postponed or withdrawn from projects in Maine, Massachusetts, and New Jersey. One company has even canceled its plans for a factory specializing in underwater power cables for the industry. Opponents of wind energy have filed a wave of new lawsuits. Additionally, there’s the ongoing risk of Congress eliminating the Biden-era tax credits that the industry heavily depends on.
