THE STATE’S TWO leading offshore wind developers appear to be stalling for time as they explore whether the cast of new players on Beacon Hill may be more receptive to letting them back out of or tweak their existing power purchase agreements.

 Avangrid, the company behind Commonwealth Wind, filed a lawsuit on Thursday challenging a December 30 decision of the Department of Public Utilities approving the wind farm developer’s power purchase agreements with three Massachusetts utilities even though Avangrid said the pricing is no longer sufficient to obtain financing for the project.

 Mayflower Wind, being developed by Shell New Energies and Ocean Winds, filed a request with the DPU seeking a greater say in deliberations over the power contracts and more time to respond.

 Both wind developers say power contracts they agreed to in May no longer pencil out because of inflation, interest rate hikes, supply chain difficulties, and the war in Ukraine. Commonwealth Wind has asked for a modest price increase or, barring that, the ability to withdraw its contract and bid in to the state’s next offshore wind procurement. Mayflower has been less forthcoming about what it wants, but says it agrees with Avangrid’s assessment of the situation.

 Putting the legal maneuvering aside, both of the wind developers are playing for time. A statement issued by Avangrid spokesman Craig Gilvarg suggests the company needs more time to make its case to the new players on Beacon Hill.

 “Avangrid is committed to working in partnership with the Healey-Driscoll administration, Attorney General [Andrea] Campbell, and the Massachusetts utilities to secure a speedy resolution to ensure Commonwealth Wind continues to move forward to deliver transformational economic investments in Salem and Somerset, create thousands of jobs, and achieve commercial operations before 2030 to help Massachusetts meet its nation-leading climate target,” said the statement.

 The maneuvering over offshore wind pricing in Massachusetts is public, playing out in court and regulatory proceedings, but it’s also starting to bubble up elsewhere along the Atlantic coast.

 New York and New Jersey are considering including inflation adjustments in future offshore wind contracts, but a group representing many renewable energy developers in New York says “an inflation adjustment” is needed now on awarded and contracted projects that have not yet begun operation.

 In a letter to the head of the New York Energy Research and Development Authority, a group called the Alliance for Clean Energy said inflation “has translated into significantly higher construction costs for wind and solar projects, rendering a significant portion of the contracted projects uneconomic to build in the current environment and foreseeable future.”

 Orsted, the Danish wind farm developer that is preparing to build Sunrise Wind off the coast of New York, saw its stock price tumble 7 percent after the company reduced the estimated value of the project by $366 million. The company blamed “project-specific [capital expenditure] increases, an unprecedented cost inflation, and rapidly rising interest rates in 2022.”

 Sunrise Wind is a joint venture of Orsted and Eversource Energy, an arm of the dominant utility in Massachusetts. Interestingly, Eversource in Massachusetts is one of the utilities that has balked at changing the terms of its contract with Commonwealth Wind.

BRUCE MOHL

 

NEW STORIES FROM COMMONWEALTH MAGAZINE

T’s interim GM promises transparency: Jeffrey Gonneville, the interim general manager of the MBTA, promises his board a full briefing on the problems with the Chinese manufacturer of new Red and Orange Line trains. He also says he is focused on building trust in the T, which starts with greater transparency.

– T officials explain in detail the latest problem to sideline new Orange Line trains – grounding straps that come loose under the vehicles and cause damage to the axles. Read more.

Playing catchup on the Green Line: With an anti-collision system on the Green Line not expected to be finished until June 2025, the MBTA steps up ad hoc efforts to prevent collisions and reduce speeding. The ad hoc efforts are expected to start in January 2024. Read more.

Healey’s first legislation: Gov. Maura Healey files her first pieces of legislation to provide funding for economic development and housing, but no permanent tax relief.  Read more.

OPINION

Civics education: Rep. Chynah Tyler of Boston talks up the value of the state’s new focus on civics education, which she says encourages critical thinking and lays the foundation for a new generation of voters.  Read more. 

Backs ranked-choice voting: Martha Karchere of Jamaica Plain takes issue with a recent column by a political consultant, saying progressives aren’t to blame for the problems of the Massachusetts Democratic Party, the state’s voting approach is. She favors ranked-choice voting. Read more.

STORIES FROM ELSEWHERE AROUND THE WEB

BEACON HILL

Two Democratic lawmakers plan to file legislation imposing new nurse staffing ratios in the state, a contentious issue that has been the focus of past Beacon Hill debates and a 2018 ballot question. (Boston Globe) 

South Coast lawmakers Sen. Mark Montigny and Rep. Chris Markey filed legislation to torpedo new state septic regulations, which could cost homeowners $20,000 to $35,000 plus $1,000 to $2,000 annually to maintain. (New Bedford Light) The issue has generated heated commentary, including these pro and con pieces in CommonWealth.

A slew of tax relief proposals are among the thousands of bills filed by lawmakers for the new two-year session that began this month. (Boston Herald) 

MUNICIPAL MATTERS  

The family that owns Lambert’s Rainbow Market in Dorchester and Westwood is selling the properties but intends to remain in business at the two locations under 10-year leases. (Dorchester Reporter)

The Fall River Zoning Board of Appeals rejected an application by the owners of an imposing $1 million stone mansion in the city to operate the house as an Airbnb rental. (Herald News)

HEALTH/HEALTH CARE

Massachusetts turns to in-home behavioral health care as wait times in emergency rooms last for days. (WBUR)

A national shortage of ADHD drugs leaves patients scrambling. (GBH)

WASHINGTON/NATIONAL/INTERNATIONAL

A Berkshire Eagle editorial praises New Zealand Prime Minister Jacinda Ardern for being the rare politician who knows when it’s time to quit. 

ELECTIONS

The Danvers Select Board opts out of universal mail-in voting for its May election and will allow only one day of early voting. (Salem News)

BUSINESS/ECONOMY

More jobs cuts are coming at Wayfair. (Boston Globe) 

EDUCATION

Harvard University reverses itself and offers a fellowship to a rights activist who has been critical of Israel. (WBUR)

TRANSPORTATION

The MBTA continues to struggle to hire enough bus drivers – even with signing bonuses up to $4,500. (Boston Herald)

CRIMINAL JUSTICE/COURTS

Legal experts weigh in on the challenges prosecutors will face if Brian Walshe goes on trial for murder without the body of his wife Ana Walshe being found. (Boston Globe) MassLives gives the rundown on 15 people of color in the state who have gone missing – but not generated days of front-page headlines and a crush of media attention. 

New Mexico prosecutors decide to file criminal charges against actor Alec Baldwin and an on-set weapons handler in connection with the shooting death of the cinematographer on the set of a western film. (Los Angeles Times)

PASSINGS

David Crosby of The Byrds and Crosby, Stills, Nash & Young, dies at 81. (New York Times)