The U.S. Department of Interior’s Director has ordered a 90-day suspension of work on the Coastal Virginia Offshore Wind project, a move that has raised concerns about grid reliability, energy security, and economic impact in one of the fastest-growing power markets in the United States.
Dominion Energy said the Coastal Virginia Offshore Wind project is critical to American national security and to meeting Virginia’s rapidly rising electricity demand, which the company describes as the fastest growth in the country. This surge in demand is being driven by the need to supply reliable power to major war fighting installations, the world’s largest warship manufacturer, and the largest concentration of data centers globally, alongside expanding requirements from the artificial intelligence sector.
Grid reliability and national security concerns
According to Dominion Energy, halting the Coastal Virginia Offshore Wind project for any length of time threatens grid reliability for some of the nation’s most important military, artificial intelligence, and civilian assets. The company warned that a prolonged pause could contribute to energy inflation and put thousands of jobs at risk across the regional supply chain.
The company emphasized that the project is American-owned and is designed to benefit customers across Virginia. Dominion Energy noted that customers are already paying for the project following a detailed review of costs and benefits conducted by Virginia state regulators in 2022. These regulators, along with multiple federal agencies, also oversee the project’s cyber and physical security programs, which Dominion Energy considers among the strongest in the energy industry.
Long development history and offshore location
The Coastal Virginia Offshore Wind project has been under development for more than a decade and has involved close coordination with the U.S. military. The project is located approximately 27 to 44 miles offshore, a distance that minimizes visual impact concerns. Dominion Energy highlighted that the project’s two pilot turbines have been operating for five years without causing any impacts to national security.
The company also pointed out that the project has bipartisan political support and is within months of generating up to 2,600 megawatts of electricity. This capacity is expected to support the fastest-growing segment of the U.S. energy grid and serve one of the largest concentrations of critical infrastructure in the world.
Role in Virginia’s energy strategy
The Coastal Virginia Offshore Wind project is a key component of Virginia’s All-American, All-Of-The-Above-Energy Plan, which calls for a diverse mix of power generation resources. This strategy includes natural gas, advanced nuclear, and renewable energy to meet surging demand.
Dominion Energy said Virginia will require every available unit of electricity as statewide demand for power continues to rise sharply. The additional supply is expected to support data centers competing in the global AI race, power military operations, and enable the construction of nuclear warships that underpin U.S. maritime strength. From the company’s perspective, the state’s grid requires additional electricity supply rather than reductions.
Dominion Energy said it is prepared to take the necessary steps to resume work and deliver power from the project as quickly as possible once the suspension is lifted.
About Dominion Energy
Dominion Energy, headquartered in Richmond, Virginia, provides regulated electricity service to 3.6 million homes and businesses across Virginia, North Carolina, and South Carolina. The company also supplies regulated natural gas service to 500,000 customers in South Carolina.
Dominion Energy is one of the leading developers and operators of regulated offshore wind and solar power in the United States and is the largest producer of carbon-free electricity in New England.
BABURAJAN KIZHAKEDATH