Equinor’s (EQNR) Empire Wind 1 Gets Final Approval in New York

Equinor ASA EQNR, the Norwegian state-owned energy giant, has secured approval from the New York State Public Service Commission to commence construction of its Empire Wind 1 offshore wind farm, as announced by governor Kathy Hochul’s office on Thursday.

The 810 MW Empire Wind 1 project is a significant step toward New York’s ambitious goal of developing 9,000 MW of offshore wind power by 2035. This project will connect to the transmission system for New York City, providing a substantial boost to the state’s renewable energy infrastructure.

The approval includes the construction and operation of crucial transmission facilities designed to deliver electricity from the offshore wind farm in New York. Key components of the infrastructure include two 230 kilovolt (kV) alternating current submarine transmission cables that extend from the boundary of New York State waters to a landfall in Brooklyn.

Additionally, a 0.2-mile-long onshore cable route will be constructed, featuring two 230 kV alternating current transmission cables buried underground, connecting to an onshore substation. This onshore substation, located at the South Brooklyn Marine Terminal, will be responsible for increasing the voltage to 345 kV.

Finally, two 345 kV alternating current onshore transmission cables will be buried underground, extending from the onshore substation to a Point of Interconnection with Consolidated Edison Company of New York, Inc.’s existing Gowanus 345 kV substation in Brooklyn.

This approval marks the final green light needed for Equinor to start building the project, following an earlier approval from the Federal Energy Regulatory Commission in March. With all necessary federal, state, and local authorizations now in place, critical construction activities can begin in Brooklyn.

The construction phase of the project is expected to create hundreds of family-sustaining construction jobs, providing a much-needed boost to the local economy. Additionally, the project will stimulate significant private investment in economic development statewide, reinforcing New York’s position as a leader in renewable energy.

Zacks Rank & Key Picks

Equinor currently carries a Zacks Rank #3 (Hold).

Investors interested in the energy sector may look at some better-ranked stocks like SM Energy Company SM, Marathon Petroleum Corporation MPC and Hess Corporation HES. While SM Energy and Marathon Petroleum sport a Zacks Rank #1 (Strong Buy), Hess carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.