Dominion Energy Offshore Wind Project Delayed, Tariffs Add $800 Million to Costs

Dominion Energy said U.S. steel and aluminum tariffs imposed under the Trump administration have increased the cost of its Coastal Virginia Offshore Wind (CVOW) project by roughly $800 million, with $230 million added in the second quarter alone. The utility also announced that the 2.6‑GW offshore wind farm, now 81 % complete, will not be finished until the end of 2027. Delays are attributed to weather, vessel‑maintenance issues, equipment load‑out challenges and a stop‑work order issued last year. Despite the setbacks, Dominion highlighted that 31 turbines already online provide more than 450 MW of power and that cost‑shift efforts are expected to save over $500 million, bringing the total project budget to about $11.6 billion.

Project president Bob Blue emphasized that the strategic value of CVOW remains unchanged and that the utility will make prudent decisions for its customers. The company is also reviewing a proposed merger with NextEra Energy, but sees no need to alter the project schedule.