IPF 2023 Offshore Wind Conference

By all accounts, the IPF 2023 Offshore Wind Conference was a huge success bringing together 4000 attendees, 1000 companies and organizations, 250 speakers, and panelists for the three-day event. This was the 10^th annual Offshore Wind Conference for the Business Network for Offshore Wind organization, and it did not disappoint.

While the Northeast has been a hive of activity for a few years, the US offshore wind market is still a relatively immature sector, especially when compared to the UK and Europe. What is evident from speaking with delegates at the conference, is that we are at a pivotal moment in the development of the market here in the US with several driving factors.

• The current administration has a goal to deploy 30 gigawatts of offshore wind energy capacity by 2030
• The Inflation Reduction Act will drive investment into offshore wind infrastructure and alternative uses such as green hydrogen & ammonia production and carbon sequestration activities.

The West Coast has seen its first round of lease sales to recognized major players such as Equinor, Invenergy, CIP, RWE, and Ocean Winds. Not to be outdone, BOEM is in the process of setting up lease sales of two sites in the Gulf of Mexico.

“From surging investments to cutting-edge floating turbine technology on the West Coast, the passage of the landmark Inflation Reduction Act, and federal regulatory efforts that bring more certainty to permitting, 2022 kicked the American offshore wind industry into full throttle,” Liz Burdock, President, and CEO of Business Network for Offshore Wind.

With an estimated $17 billion investment in the US offshore wind market since 2014, it's hard to believe that the nation’s first two commercial-scale offshore wind farms, South Fork Wind project in New York and the Vineyard Wind project in Massachusetts will come online in 2023.

So, what are the challenges?

The conference highlighted several challenges facing the US offshore wind market including:

• Regulatory and permitting challenges: The regulatory and permitting process for offshore wind projects can be lengthy and complex, with numerous federal, state, and local agencies involved. This can result in significant delays and uncertainties for developers who have invested in lease sales.
• High Development Costs and lack of Infrastructure: The US currently lacks the necessary infrastructure to support large-scale offshore wind development, including ports and vessels capable of handling large wind turbines and components.
• Grid Integration: Integrating large amounts of intermittent offshore wind power into the existing electric grid can be challenging and may require significant upgrades to the current transmission systems.
• Public Opposition: Offshore wind projects can face opposition from local communities concerned about the visual impact, potential effects on marine life, and other issues.

During the conference, the workforce summit also highlighted significant staffing challenges that are unique to the industry. As offshore wind projects require specialized knowledge and skills, there is currently a shortage of experienced professionals in the US offshore wind sector.

• Talent Recruitment: The offshore wind industry requires a diverse range of skilled workers, including engineers, technicians, project managers, and environmental specialists. As the industry is still in its early stages in the US, there is a limited pool of experienced professionals available to fill these roles.
• Education and Training: To address the talent shortage, there is a need for education and training programs that can provide workers with the skills and knowledge required for offshore wind jobs.
• Competing Industries: The offshore wind industry faces competition for skilled workers from other industries, such as oil and gas. This makes it difficult for the offshore wind industry to compete, particularly for workers with specialized skills and experience.
• Geographical Challenges: Many offshore wind projects are located in remote locations, making it difficult to attract and retain workers who may be unwilling to relocate or work in difficult conditions. There is also a drive to hire locally for a large portion of the total workforce, reducing the reliance on expertise coming from the UK and Europe.  

What is the solution?

To address these staffing challenges, the offshore wind industry in the US will need to collaborate with educational institutions, labor unions, and other stakeholders to develop comprehensive workforce development programs.

Additionally, the industry will need to work to promote the benefits of offshore wind jobs, including higher wages, long-term employment opportunities, and the opportunity to work on projects that contribute to a sustainable future.

Based on our ONEMSP platform, TRS Workforce Solutions are collaborating with its clients to develop project-based, managed recruitment solutions that focus on aligning contingent contract recruitment strategies to their project milestones. This includes developing targeted cross-industry candidate attraction campaigns and retention policies that minimize the loss of key workers and project knowledge to their competitors.

It is still early days for the offshore wind market sector in the US, but with the shortage of vessels, developed port space, and skilled workers, the competition for these resources will only increase. While I cannot help you with an installation vessel or port space, I can help you with a managed solution that will help you source and deliver the talent you need to succeed. For more information, please contact Darren Rowan or call +1 346 544 133.