AVANGRID Statement on Progress of Clean Energy Investments in Massachusetts

December 16, 2022 02:28 PM Eastern Standard Time ORANGE, Conn.--(BUSINESS WIRE)--AVANGRID (NYSE: AGR), a leading sustainable energy company and part of the Iberdrola Group, today released the following statement regarding its clean energy investments in Massachusetts and the path forward for the Commonwealth Wind project.

'We are proud that our joint venture, the nation-leading Vineyard Wind 1 project, will bring 800 Megawatts (MW) of offshore wind to and create 3,600 jobs for Massachusetts. The project has achieved material milestones, including the securing of 62 GE Haliade-X turbines, receipt of all federal, state, and local permits, and commencing of undersea cable installation. We're projecting delivering first power to the grid late 2023, achieving Commercial Operation in 2024. And recently, we announced that AVANGRID will lead the operations and maintenance of the project, tapping into our global expertise to become the first offshore O&M operator in the U.S. We are proud that Vineyard Wind 1 is a turning point moment for the U.S. and launches a brand new American clean energy industry that will create thousands of jobs, improve our energy security, and help address the climate emergency.

In addition to Vineyard Wind 1, AVANGRID has also invested in the New England Clean Energy Connect (NECEC) hydroelectric line, and the Commonwealth Wind project, bringing its total of proposed investment in the region to $10 billion – demonstrating the company's steadfast commitment to helping Massachusetts meet its nation-leading climate and clean energy goals We continue to battle incumbent energy interests, including fossil fuel opposition, to bring the 1200 MW cost-effective NECEC hydroelectric project forward.

Regarding Commonwealth Wind, we know how important this project is to ensure that Massachusetts can meet its climate goals, have cost-effective pricing for ratepayers, and jump start economic development, including the redevelopment of Salem Harbor as an offshore wind marshalling port and the development of a cable manufacturing facility at Brayton Point. We have a path forward to ensure that we can finance and build this project to deliver 1200 MW of emissions free, cost-effective energy resources, helping Massachusetts achieve the state's climate law and targets for 2030. Despite unprecedented challenges in the global economy in the form of supply chain disruptions, historic levels of inflation, and rising interest rates, AVANGRID has engaged in good-faith and productive discussions with Massachusetts state officials regarding these challenges and the need to restore the project to economic viability. AVANGRID appreciates their engagement as we worked to find a path forward for the project having invested millions of dollars already in its permitting and development. As building Commonwealth Wind remains our objective, AVANGRID has been disappointed in the Electric Distribution Companies' refusal to immediately engage on this matter.

To advance this project as expeditiously as possible, AVANGRID today filed a motion with the DPU to dismiss its review of the Commonwealth Wind contracts, which will allow all parties an opportunity to pursue an expedient path forward – opening the path to inclusion of the 1200 MW in the upcoming offshore wind solicitation slated for April 2023. With this step, a competitive process that accounts for the unprecedented changes will ensure that a clean energy project can be built to serve the Commonwealth's energy needs. AVANGRID is committed to bidding Commonwealth Wind into that solicitation, and has the utmost confidence, given the advanced stage of the project and its inherent benefits, that it can address the current economic challenges facing the project and offer the most cost-effective pricing; a superior timeline for completion that positions Massachusetts to meet its ambitious 2030 climate target; and the creation of thousands of jobs and transformational economic development opportunities.

We thank the Baker Administration, the Attorney General's Office, and the incoming Administration of Governor-elect Maura Healey for their work on behalf of the people of the Commonwealth. We are proud of the remarkable partnership we have built with Massachusetts as we work together to launch a nascent offshore wind industry for the United States, and we remain committed as ever to reinforcing our bond and advancing our shared goal of a better, brighter clean energy future.'

About AVANGRID:

AVANGRID, Inc. (NYSE: AGR) aspires to be the leading sustainable energy company in the United States. Headquartered in Orange, CT with approximately $40 billion in assets and operations in 24 U.S. states, AVANGRID has two primary lines of business: Avangrid Networks and Avangrid Renewables. Avangrid Networks owns and operates eight electric and natural gas utilities, serving more than 3.3 million customers in New York and New England. Avangrid Renewables owns and operates a portfolio of renewable energy generation facilities across the United States. AVANGRID employs more than 7,000 people and has been recognized by JUST Capital in 2021 and 2022 as one of the JUST 100 companies – a ranking of America's best corporate citizens. In 2022, AVANGRID ranked second within the utility sector for its commitment to the environment and the communities it serves. The company supports the U.N.'s Sustainable Development Goals and was named among the World's Most Ethical Companies in 2022 for the fourth consecutive year by the Ethisphere Institute. For more information, visit www.avangrid.com.

About Iberdrola:

Iberdrola is one of the world's biggest energy companies and a leader in renewables, spearheading the energy transition to a low carbon economy. The group supplies energy to almost 100 million people in dozens of countries. With a focus on renewable energy, smart networks and smart solutions for customers, Iberdrola's main markets include Europe (Spain, the United Kingdom, Portugal, France, Germany, Italy and Greece), the United States, Brazil, Mexico and Australia. The company is also present in growth markets such as Japan, Taiwan, Ireland, Sweden and Poland, among others.

With a workforce of nearly 40,000 and assets in excess of €141.7 billion, across the world, Iberdrola helps to support 400,000 jobs across its supply chain, with annual procurement of €12.2 billion. A benchmark in the fight against climate change, Iberdrola has invested more than €130 billion over the past two decades to help build a sustainable energy model, based on sound environmental, social and governance (ESG) principles.