Ørsted and PSEG Award Contracts for Offshore Wind Farm Transmission System

On Apr 25, 2022

Ocean Wind 1, a joint venture between Ørsted and PSEG, has awarded the first three major construction contracts all geared toward the development of a 1,100-megawatt offshore wind farm powering new Jersey.

Ocean Wind 1 will provide clean energy to 500,000 homes in New Jersey via the project, delivering thousands of jobs and ramping up supply chain initiatives, like the EEW monopile manufacturing facility at the Port of Paulsboro, all while helping the state meet its clean energy goals.

Engineering, procurement, and construction contracts have been awarded to two firms, JINGOLI Power, LLC and Burns & McDonnell Engineering Company, Inc. The contracts include the installation of two high-voltage substations and nearly nine miles of underground cable that will connect the offshore wind farm to the onshore electric grid at two landfall points. Project engineering began during the first quarter of 2022, with construction estimated to start in September 2023. Together, these contracts will support the creation of approximately 275 family-sustaining jobs in the state, including more than 200 high-paying union construction jobs.

“The awarding of these construction contracts marks significant milestones in moving the state’s first offshore wind project forward,” said Grant van Wyngaarden, head of procurement, Ørsted North America. “We are focused on doing all we can to meet the state’s timeline for delivering the Ocean Wind 1 project, hiring locally, creating job opportunities, and encouraging supply chain growth to help the offshore wind industry mature in New Jersey.”

“Offshore wind is critical to helping New Jersey achieve its clean energy ambitions and these agreements mark a significant step in the process,” said Lathrop Craig, PSEG vice president of Wind Development. “In addition to ensuring the project remains on track, it’s essential we ensure that a breadth of diverse, qualified and talented workers have access to the many opportunities that this new industry affords.”

JINGOLI Power will install an underground electric export cable from landfall to B.L. England, the site of the onshore electric substation in Upper Township, and engineer, procure and install a duct bank/manhole system that will house the export cables. The company is committed to providing job training and apprenticeships to local residents and area teens interested in STEM careers through its Competitive Edge program, which ensures project investment dollars remain in the community, building stronger local economies and workforces.

“Ocean Wind 1 proves that we don’t have to choose between creating good jobs and fighting climate change. We can do both,” said Joseph R. Jingoli, Jr., CEO of JINGOLI and cofounder of JINGOLI Power. “We’re extremely honored to have been selected by Ørsted and PSEG for this project, and we’re ready to get to work building this critical component of New Jersey’s clean energy economy.”

Burns & McDonnell Engineering Company, Inc., will install a substation in Upper Township that includes an interconnection to a nearby Atlantic City Electric substation. The company will also install a substation at Oyster Creek, with an interconnection to a nearby First Energy substation, and install an underground export cable from the landfall to the onshore electric substation.

“Burns & McDonnell is honored to be selected by Ørsted and PSEG to deliver this critical project that will further drive the sustainable energy transition in the U.S.,” said Ray Kowalik, Chairman and CEO of Burns & McDonnell. “With our firm’s experience in the continually expanding offshore wind market and our rapidly growing teams in New Jersey and the Northeast, we are well positioned to execute on this project that will create high-paying local union jobs and provide efficient, sustainable energy to New Jersey for years to come.”

Both Burns & McDonnell and JINGOLI Power are committed to hiring numerous, New Jersey-based businesses that utilize union workforces and will also subcontract work to qualified diverse businesses.

“Ocean Wind 1 will be built under industry-leading project labor agreements and specific partnerships with local union organizations to ensure local union labor participation in all phases of construction,” said Dan Cosner, president of South Jersey Building Trades Council and business manager, IBEW Local 351. “Onshore activities for the project’s underground duct bank system, transmission, and substation facility are the first to begin and will source construction labor from local, New Jersey union hiring halls.”

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