Cleveland’s Wind Project Upgraded, Qualifies For $40 Million In Additional Funds For Construction Phase Of Wind Turbines

Rep. Kaptur, LEEDCo, Cleveland Officials Make Major Announcement Today

WASHINGTON, DC – Congresswoman Marcy Kaptur (OH-09), along with senior officials from the Cleveland-based Lake Erie Energy Development Co (LEEDCo), Cleveland Mayor Frank Jackson, Cuyahoga County Executive Armond Budish, and other Cleveland officials, today announced that the federal Department of Energy (DOE) has selected the local wind power firm to receive $40 million over the next three years for the construction phases of the nation’s first offshore wind energy projects.

“Yesterday, I was honored to receive a phone call from the US Secretary of Energy, Dr. Ernest Moniz, informing me that the DoE has ‘on boarded’ Cleveland's LEEDCo application toward full funding of the department's Energy Efficiency and Renewable Energy wind turbine energy demonstration,” said Kaptur.

“We are grateful to the support from DOE dating back to 2012 that has enabled us to make such significant progress in the development of Project Icebreaker. This award is a direct result of our regional collaboration lead by the Cleveland Foundation and the City of Cleveland, as well as the counties of Cuyahoga, Ashtabula, Lake, Lorain, and Erie, Pa. This is truly a transformational event that will make us a manufacturing and technical leader in a new U.S. industry that is ready to surge.” said Lorry Wagner, LEEDCo’s president.

LEEDCo’s selection as one of three wind power demonstration projects is seen as somewhat of a surprise, and a recent fast-moving development, after two other previously selected projects located in Virginia and Oregon had recently failed to meet DOE benchmarks necessary to receive future project development funds and were downgraded as a result.

Kaptur applauded this great achievement: "As wind power is gaining momentum globally as a major segment of energy production-- including having increased over seven-fold here in the United States in the last decade. With Lake Erie dubbed the Saudi Arabia of wind, LEEDCO has seen the future and captured it."

LEEDCo’s pilot project consists of six large wind turbines which are located between eight and 10 miles offshore to the northwest of downtown Cleveland.

“We’re incredibly excited about this very significant development. This is a great opportunity to develop clean energy in Cuyahoga County. This brings our region in alignment with national trends and with the development of large scale renewable energy,” said Cuyahoga County Executive Armond Budish.

“This is an absolute lesson in persistence and as great an example of a public private partnership that you can think of. I’m tremendously excited,” said longest serving LeedCo Board Member and Cuyahoga County Representative, Steve Dever.

“In an era and a state where it’s been difficult to develop clean energy, the Department of Energy, LeedCo, Cuyahoga County and the City of Cleveland are really stepping forward. And we see great things coming down the pipe for Cuyahoga County. This will help Northeast Ohio be a leader in the off-shore wind industry,” said Cuyahoga County Department of Sustainability Director, Mike Foley.
This is the fourth such award for the non-profit LEEDCo, previously considered an “alternate” project, rather than the new “finalist” designation for the project, which is administered by the DOE Advanced Technology Demonstration Program. With the new designation, the firm is now eligible for three annual awards of $13.3 million, or $40 million total from DOE, for the design, manufacture and construction phases as long as it continues to meet the program’s requirements.

“Lake Erie is the Saudi Arabia of wind, and today’s award should be a gusher for northern Ohio,” said Kaptur. “This wind power project will begin to unleash Lake Erie’s full renewable power potential and contribute to creating a more competitive energy marketplace. LEEDCo’s innovative vision can help transform energy production and distribution for northern Ohio’s residents and thousands of businesses. Because Lake Erie serves both the US and Canada this development also harkens toward a future that could link Ohio and Ontario in a new energy partnership.”

Today’s DOE announcement follow LEEDCo’s receiving $3.7 million last week for “Project Icebreaker Development Phase 3,” meant to complete permitting, engineering challenges, and soliciting bids for fabrication, construction and installation of the wind farm. With these new funds, LEEDCo will eventually receive nearly $51 million in federal support.

Kaptur said: "This announcement today seems perfectly suited to Cleveland, the first city in America where the electric wind turbine was invented. With this announcement today, Cleveland carries American innovation forward in this new millennium."‎

LEEDCo has partnered with Fred Olsen Renewables USA and is headquartered in Cleveland. The venture has a 50-year lease from Ohio for the offshore project and is working to complete the remaining permits it needs from federal and state agencies. Moreover, LEEDCo has secured a power purchase agreement (PPA) for 65 percent of future output.

As two other national contenders were unable to overcome deficiencies in their original applications, LEEDCo and the Maine-based wind power project continued to make steady progress toward a full demonstration, including the recent power purchase agreements. Further, LEEDCO's successful efforts to secure significant private investments favorably positioned its application toward a full demonstration.

“The strength of the Icebreaker project, as opposed to its competitors, lies in LEEDCo’s commitment to leverage offshore wind energy with local Ohio-based jobs in the steel, construction, and transportation industries,” said Kaptur. “This means local job possibilities beyond wind generation are on the horizon.”

The LEEDCo project is the only freshwater, wind project in development in the United States and will play an important role in unlocking the tremendous offshore wind energy potential of the Great Lakes which represents 20 percent of the United States’ total offshore wind energy capacity.

Congresswoman Kaptur serves as the Ranking Member of the U.S. House Energy and Water Appropriations Subcommittee. This selection successfully advances the Cleveland effort toward‎ $40 million‎ in Department of Energy assistance to complete the first full demonstration in the United States of a major offshore wind installation in freshwater.

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