DELMARVA - Offshore wind developer US Wind has entered memoranda of understanding with Maryland Department of Natural Resources (DNR) and Delaware Department of Natural Resources and Environmental Control (DNREC) in which the company has proposed $20 million in support to local fishermen.
According to a press release from US Wind, the agreements with the states were developed in response to watermen feedback as US Wind continues to pursue a project off Sussex and Worcester Counties. The Trump Administration’s reversal of a Biden-era push for offshore wind has left the future of the project uncertain.
“This proposal -- one of the biggest investments in commercial fishing in the region – demonstrates our commitment to the fishing industry and the local community in which we’ll operate,” said Jeffrey Grybowski, US Wind CEO. “The funding will provide direct support to commercial and charter fishermen, grants for local businesses, and support for harbor maintenance and infrastructure. We’re looking forward to continuing our work with local fishermen and the states of Maryland and Delaware to finalize this unprecedented agreement.”
US Wind says $13.5 million of the $20 million proposal would go to the following in Maryland:
-Grants for fishing businesses in the harbor to continue the offloading of catch and ice services;
-30 years of funding for West Ocean City Harbor maintenance, such as dredging requested each year by the community, dock and shore stabilization
-Substantial money for gear development, marketing of local seafood, fishing business development, and incentives for new commercial fishermen.
When commercial fishermen in the West Ocean City Harbor were presented with this news on Wednesday morning, it was met with more skepticism than excitement.
"I mean who will get the money, what's the criteria on how to get a portion of that money?" asked Sonny Gwin.
Ben Cooper, Director of Marine Affairs at US Wind, broke down the process. He said it will apply to fishermen who work within US Wind's lease area.
"So they will show us that they fished here in the past through their vessel tracks, through their landing receipts," said Cooper. "Then they'll show 'I'm sorry, uh, this year we didn't make as much money and it was in that area."
Math Breakdown:
Let's say a fisherman earned $1,000,000 in 2025. Then, hypothetically, construction on US Wind's project begins in 2026.
If a fisherman can show that they only made $800,000 in 2026, they will be reimbursed $200,000.
Cooper said the federal government requires US Wind to supply funds to the compensation program throughout construction and for five years during operation.
Meaning, if the $5.4 million fund runs out, the company will have to put money back into the compensation program.
Cooper said there will also be money set aside for fishermen during the decommissioning of the turbines.
Still, Gwin said he doesn't want any part of this.
"It's their deal, it's not our deal," said Gwin.
Gwin, along with Delegate Wayne Hartman(R), told WBOC that this deal is nothing more than a band-aid, and they still hope the Trump Administration will step in.
"That's the only real answer to this whole thing," said Hartman.
US Wind, however, is firmly standing by this new deal.
"We've heard the concerns from the community, we want to be good neighbors, we want to be good partners in the region and so this allows us to be good neighbors and to work side-by-side," said Cooper.
The offshore wind company is also standing by its proposed project.
"It is a viable and necessary project for our nation to supply clean, renewable, domestic energy and we hope that we can continue to make it go forward," said Cooper.
In Delaware, US Wind says the proposed funds would be spent on the Multi-Use Fishing Community Resilience Fund for fishing-related research.
In addition to the separate Resilience Funds, $5.4 million of the proposed payments would be distributed as claims-based compensation for commercial and for-hire recreational fishermen who can demonstrate US Wind’s projects impacts their revenue, according to the company. The proposal also includes over $1 million is upgraded navigation and safety equipment for local vessels operating near the windfarms.
US Wind says they are still pursuing a facility in the West Ocean City Harbor to serve as their main location to plan and coordinate offshore wind turbine maintenance and service. Under the new MOU with Maryland, US Wind says it will only use one of the two properties they have optioned in West Ocean City.
“By only developing one site instead of two and investing in grants for fishing service providers, the agreement will benefit and enhance commercial fishing services at the West Ocean City Harbor,” the company said in a statement Wednesday.
This is a developing story and will be updated as more information becomes available.