Offshore wind project begins generating power

Dominion Energy’s Coastal Virginia Offshore Wind project has begun delivering electricity to the grid, marking a key milestone as construction continues off Virginia’s coast.

A Dominion spokesperson told The Center Square the project delivered its first power on Monday, March 23, meeting the company’s original schedule.

One turbine is currently generating about 14.7 megawatts of electricity. As additional turbines are installed, output will increase toward the project’s full capacity of 2.6 gigawatts, which Dominion says is enough to power about 660,000 homes.

The project is now more than 70% complete, according to Dominion.

Construction progress includes the installation of 160 of 176 transition pieces, which connect turbine towers to their foundations, signaling that a major phase of offshore work is nearing completion.

Dominion said the project remains on track, with most construction expected to wrap up by the end of 2026 and final work continuing into early 2027.

The milestone follows a temporary federal pause earlier this year tied to national security concerns involving offshore wind development. A federal judge later allowed construction to resume while legal challenges continue.

Dominion said the project remains on schedule despite the delay.

Project costs have increased as construction has progressed.

Dominion confirmed to The Center Square the total cost is now estimated at about $11.5 billion, up from the project’s original $9.8 billion estimate.

Under the project’s cost recovery structure, customers are already paying for the project through rates approved by the Virginia State Corporation Commission. Dominion said the average residential customer is currently paying about $11 per month for the offshore wind project.

In a separate company statement, Dominion said updated cost estimates would increase the average lifetime bill impact by about 43 cents per month.

The company has said cost increases are largely tied to higher network upgrade costs assigned by PJM, which manages the regional power grid, as well as onshore electrical system work needed to connect the project to the grid.

The offshore wind project is part of a broader effort to meet rising electricity demand in Virginia, including growth tied to data centers, population increases and military operations.

Dominion said additional turbines will come online in phases, increasing the amount of electricity delivered to the grid as construction continues.