In late October, US power company Avangrid sought a one-month suspension in the Massachusetts Department of Public Utilities’ (DPU) review of power purchase agreements (PPAs) for the Commonwealth Wind project planned for development south of Martha’s Vineyard. Avangrid said at that time that the project was no longer viable under the existing PPAs, given global commodity price increases, inflation and supply shortages.
The DPU denied that motion and ordered Avangrid to decide whether to continue under the conditions set out in the current PPAs or to request dismissal of the approval proceedings. On November 8, the company was granted an extension to comply, allowing it to respond by November 14.
Avangrid this week informed the DPU that it will go forward with the original PPAs. However, in its filing, the company indicated that negotiation related to PPA contract amendments would be “in the public interest” as it would “allow [the project] to be economically viable, to obtain financing and to proceed to construction.”
“Avangrid believes there is a path forward for this project, and today made a filing … so that we can continue to engage in ongoing discussion with all parties on these important issues,” said Sy Oytan, senior vice president for offshore project management for Avangrid, in an email to Reuters.