In another potential blow to the offshore wind sector, the New Jersey Economic Development Authority (NJEDA) announced it will review and explore other potential uses of the New Jersey Wind Port project in South Jersey.

Proponents had touted the development on the eastern shore of the Delaware River in Lower Alloways Creek, Salem County, as the nation’s first greenfield port designed, built and operated exclusively to support offshore wind projects. The work expected to establish a major infrastructure hub for the sector broadly, as well as create jobs in South Jersey.

As NJBIZ has reported, there is growing uncertainty in the offshore wind sector. That follows a combination of actions from the Trump administration to review all projects and pause any further ones in the meantime, as well as broader economic and supply chain headwinds for the work, especially inflation.

Just last week, Shell announced its withdrawl from the Atlantic Shores 1 project. Slated as New Jersey’s first offshore wind farm, the project stakeholders have since affirmed their intention and commitment to move forward.

On the heels of those developments and the cloudy outlook, NJEDA Chief Executive Officer Tim Sullivan released a Feb. 3 statement addressing the Wind Port — and potentially finding an alternative use for it.

‘Disappointing’ but ‘not unexpected’

“In light of the significant uncertainties in the offshore wind market, we have decided to accelerate our strategic review of options and alternatives for the New Jersey Wind Port,” said Sullivan. “While recent developments at the federal level and announcements from offshore wind developers are deeply disappointing, they were not unexpected. We have taken a cautious approach to further development of the port since 2023 – and we have worked to identify alternative uses that would maximize the economic development, job creation, and financial potential of the site for the state.”

Sullivan closed his statement stressing that the state remains believers in the long-term potential of offshore wind for New Jersey.

“But our role as stewards of taxpayer resources requires us to evaluate all of our options,” he said. “We will continue to provide further updates as this evolves.”

Following the announcement, the Chamber of Commerce Southern New Jersey released a statement about the situation.

“Given today’s announcement from the New Jersey Economic Development Authority (NJEDA) regarding the exploration of alternative uses for the New Jersey Wind Port, while disappointed by the news, the Chamber of Commerce Southern New Jersey (CCSNJ) is encouraged that NJEDA is proactively seeking innovative solutions to maximize the economic potential of this critical asset,” stated CCSNJ President and CEO Christina Renna.

“South Jersey has been a leader in driving economic growth, and we are eager to work alongside NJEDA and other stakeholders to attract industries that will create jobs and investment in our region. We look forward to helping shape new opportunities that will ensure the Wind Port serves as a driver of long-term economic success for South Jersey.”