Massachusetts electric customers will save $1.4 billion on their bills over the next 20 years thanks to Vineyard Wind, according to a state agency.
When Vineyard Wind's offshore turbines begin generating electricity the cost will be 6.5 cents per kilowatt hour. For reference, Block Island's wind farm generates electricity at 30 cents per kilowatt hour.
Vineyard Wind's contracts with electric distributors surprised many.
Bill White, senior director of offshore wind for Massachusetts Clean Energy Center, says the cost is shockingly low.
"People throughout Massachusetts, on a policy and political level, as well as the offshore wind industry, were just blown away on how low this price has been," he said.
White attributes the low cost to competition, tax incentives and new, larger wind turbines.
Earlier this week, the Massachusetts Legislature doubled the amount of offshore wind utilities must buy.
With reporting from WBUR's Bruce Gellerman