US Offshore Wind in 2026: Where the Industry Actually Stands
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US Offshore Wind in 2026: Where the Industry Actually Stands

SolarGenReview EditorialMar 9, 20266 min read

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How Far Behind Is the United States?

The United Kingdom's offshore wind industry powered about 15% of UK electricity in 2024. Denmark routinely gets 40–50% of its electricity from wind, much of it offshore. The European Union's total offshore wind capacity exceeded 30 GW by 2025.

The United States, as of mid-2025, had approximately 174 megawatts of offshore wind in commercial operation — a figure so small that rounding it is meaningless. That is less electricity than a single conventional power plant. The gap between America and Europe on offshore wind is not a matter of wind resource or technology. It is the product of decades of permitting delays, legal challenges, political opposition, and infrastructure gaps that have kept a promising industry perpetually on the verge of scaling up.

The question for 2026 and beyond is whether the construction pipeline now underway can convert that gap into something that begins to close.

What's Actually Being Built Right Now

The three most significant projects in the US offshore wind pipeline as of mid-2026:

Vineyard Wind (Massachusetts) — 800 MW

Located approximately 15 miles south of Martha's Vineyard, Vineyard Wind is the first large-scale commercial offshore wind project in US waters. Developed by Avangrid and Copenhagen Infrastructure Partners, it received its federal Record of Decision in 2021 after a permitting process that spanned more than a decade. Construction began in 2023 with installation of the first monopile foundations. The project is targeting completion by December 2026 and will use GE Vernova Haliade-X turbines rated at 13 MW each. At 800 MW, Vineyard Wind would power approximately 400,000 Massachusetts homes.

Revolution Wind (Rhode Island / Connecticut) — 704 MW

Developed by Ørsted and Eversource, Revolution Wind received its federal approval in 2023. Construction is underway, with first power generation targeted for 2025–2026. The project will supply electricity under long-term contracts to both Rhode Island and Connecticut utilities, representing the first offshore wind project contracted to serve two states simultaneously. Revolution Wind uses Siemens Gamesa SG 11.0-200 DD turbines.

Sunrise Wind (New York) — 924 MW

Ørsted's Sunrise Wind project received federal approval in late 2023 and is targeting commercial operation in 2027. It will connect to New York's grid through Long Island's electrical infrastructure. New York State has set a target of 9 GW of offshore wind by 2035 — one of the most ambitious state-level clean energy commitments in the country.

The Bigger Picture: 80,000 MW in the Pipeline

The Bureau of Ocean Energy Management (BOEM) has leased offshore areas with a combined potential capacity of over 80,523 MW across multiple Atlantic lease areas, the Gulf of Mexico, and the Pacific coast. Projects in this pipeline range from preliminary development stages to advanced permitting.

To put that number in perspective: the entire current US electricity generation capacity is approximately 1,200 GW. The offshore wind pipeline represents roughly 6.7% of that — meaningful but not transformative on its own. The critical variable is how many of these leased areas actually move through permitting and construction, and on what timeline.

Why Europe Got So Far Ahead

Europe's offshore wind advantage traces to several factors the United States lacked until recently:

Early government commitment: The UK, Denmark, Germany, and the Netherlands made explicit policy commitments to offshore wind in the late 1990s and 2000s, providing the long-term price guarantees developers needed to justify expensive first-mover investments. The US had no comparable federal policy until much later.

Shallower waters: The North Sea is relatively shallow — most of it less than 50 meters deep — making fixed-bottom foundations straightforward to deploy. The US Atlantic shelf is also shallow and favorable, but the Pacific coast drops rapidly to deep water, complicating West Coast development.

Supply chain: Europe built its offshore wind supply chain over two decades. Specialized installation vessels, foundation fabrication facilities, cable manufacturers, and service ports now form a mature ecosystem. The US is building this infrastructure from scratch, and the shortage of Jones Act-compliant installation vessels remains a genuine constraint. The Jones Act requires that cargo transported between US ports be carried on US-built, US-crewed vessels — and there are currently very few US-flagged vessels capable of installing offshore wind turbines.

Permitting speed: European offshore wind permitting, while not frictionless, has historically been faster than the US system. BOEM's permitting process involves multiple federal agencies, Tribal consultations, National Historic Preservation Act reviews, and Endangered Species Act consultations, creating a process that routinely takes 10+ years from lease award to construction start.

Policy Uncertainty in the Current Environment

The offshore wind industry faces genuine policy uncertainty in 2026. The current federal administration has issued executive orders pausing new offshore wind leasing on federal waters pending review. Projects already permitted are not directly affected by the leasing pause, but the signal it sends to investors about future policy stability has had a measurable effect on project financing conditions.

Several planned projects have been cancelled or renegotiated in 2023–2025 due to rising construction costs, higher interest rates, and supply chain inflation. Ørsted wrote off $4 billion in 2023 related to US offshore wind project cancellations. The industry's economics, which looked compelling at 2020 interest rates and equipment costs, looked much tighter at 2024's conditions. Developers have been renegotiating power purchase agreements with state utilities to reflect the new cost environment.

What Offshore Wind Means for Electricity Prices

The long-term cost trend for offshore wind is down. The global learning rate for offshore wind has been approximately 15% cost reduction per doubling of installed capacity. As the US builds out its industry and supply chain, costs should follow a similar trajectory to what Europe experienced.

In the near term, offshore wind electricity is more expensive than the current grid average in the Northeast, where power purchase agreements for new projects are being signed at $90–$150/MWh. Grid average electricity in New England runs roughly $80–$120/MWh for wholesale power. But these long-term contracts lock in prices that are immune to natural gas price volatility — a hedge that has real value, as the Northeast discovered during the 2021–2022 energy crisis when natural gas prices spiked dramatically.

Gulf of Mexico and Pacific Development

The Atlantic coast dominates current US offshore wind activity, but other regions are developing. BOEM held the first Gulf of Mexico offshore wind lease sale in 2023, covering areas off Louisiana and Texas. The Gulf has strong wind resources and existing offshore energy infrastructure from the oil and gas industry that could support wind development.

California, Oregon, and Hawaii represent the Pacific opportunity, primarily using floating offshore wind technology given water depths. California has set a target of 5 GW of floating offshore wind by 2030, though permitting and supply chain constraints make that timeline ambitious. Several floating offshore wind lease areas off California's Humboldt and Morro Bay regions were leased in 2022.

For context on the broader wind energy landscape, our overview of onshore vs offshore wind energy covers the fundamental technology and cost differences driving these developments. And for those thinking about wind at a residential scale, see our honest assessment of whether home wind turbines are worth it.

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Frequently Asked Questions

How much offshore wind does the US have in 2026?

As of mid-2026, the United States has approximately 174 MW of offshore wind in commercial operation — a tiny fraction of Europe's 30+ GW. The first large-scale US projects including Vineyard Wind (800 MW) and Revolution Wind (704 MW) are in construction and expected to come online in 2025–2026, representing the first meaningful commercial-scale US offshore wind capacity.

When will Vineyard Wind be completed?

Vineyard Wind, located 15 miles south of Martha's Vineyard off Massachusetts, is targeting December 2026 completion. The 800 MW project uses GE Vernova Haliade-X 13 MW turbines and will power approximately 400,000 Massachusetts homes when fully operational. Construction of foundation installation began in 2023.

Why is the US so far behind Europe in offshore wind?

Europe's advantage traces to three main factors: early government policy commitments in the 1990s–2000s that gave developers certainty, a mature supply chain built over two decades, and generally faster permitting. The US has lacked a comparable federal commitment until recently, and the Jones Act creates a shortage of compliant installation vessels. US permitting routinely takes 10+ years from lease award to construction start.

What is the Jones Act and how does it affect offshore wind?

The Jones Act (Merchant Marine Act of 1920) requires that vessels transporting cargo between US ports be built in the US, owned by US citizens, and crewed by US workers. There are currently very few US-flagged heavy-lift installation vessels capable of installing offshore wind turbines, creating a bottleneck. Foreign vessels can be used for some operations with waivers, but the constraint adds cost and scheduling complexity.

How much offshore wind capacity does the US have planned?

BOEM has leased offshore areas representing a combined potential of over 80,523 MW of capacity across Atlantic, Gulf of Mexico, and Pacific lease areas. Projects range from early development to advanced permitting stages. Converting this pipeline to actual construction will depend on permitting progress, financing conditions, supply chain development, and policy stability.

What does offshore wind electricity cost compared to other sources?

New US offshore wind power purchase agreements are being signed at approximately $90–$150/MWh, higher than current grid averages but competitive with long-term forecasts for natural gas when fuel price volatility is factored in. Global offshore wind costs have fallen roughly 60% since 2010 and continue to decline as the industry scales up and the US supply chain develops.

Will the US develop floating offshore wind?

California, Oregon, and Hawaii are pursuing floating offshore wind to access deep Pacific waters. California has set a 5 GW floating offshore wind target by 2030, though that timeline is challenging given supply chain and permitting constraints. Several lease areas off California's Humboldt Bay and Morro Bay were awarded in 2022. Commercial-scale floating offshore wind in the US is most realistically a 2030s story.

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