US rolls out largest wave power fund in its history to step up the ocean energy game

The U.S. Department of Energy (U.S. DOE), Water Power Technologies Office (WPTO), has issued a $112.5 million funding call to spur the demonstration of wave energy technologies through open water testing and system validation.

The WPTO is set to allocate funding over the next five years to support wave energy development across three primary areas. This five-year investment is poised to play an important role in speeding up the design, fabrication, and testing of various wave energy converters (WECs) that capture energy from ocean waves.

A total of $16.875 million will back wave device development and open water testing, specifically targeting dispersed use and power-at-sea applications. Another $45 million will be directed toward wave device development tailored to meet the needs of coastal communities, with potential applications in power and desalination. 

The largest portion, $50.625 million, is reserved for wave device development to support utility-scale power, utilizing offshore, grid-connected testing facilities like PacWave. According to WPTO, a total of up to 17 projects are expected to receive funding, with awards ranging from $2.4 million to $25.3 million. Full applications will require the submission of initial concepts by October 25.

This investment will drive the development of a diversified wave energy project pipeline in the U.S. waters, accelerating deployments. Following the establishment of PacWave, the world’s largest wave energy test center in Oregon, the U.S. government has confirmed the launch of  a wave energy demonstration funding call, which is described as its largest-ever investment in this type of clean energy

Rémi Gruet, CEO of Ocean Energy Europe, said: “This reflects the growing momentum for ocean energy in the US. The government rightly identified the huge potential of wave energy as part of its energy transition, and is offering a clear path to boost deployments within the next 5 years. This adds to recent technological and financial milestones achieved by wave developers in Europe and will contribute to further accelerating the industrialisation of the industry across the globe.”

As public investment in ocean energy surges in both the U.S. and China, global competition is ramping up, noted Ocean Energy Europe, a European network of ocean energy professionals. In the upcoming legislative term, Europe is said to face a critical moment to capitalize on 20 years of research, development, and innovation (RD&I) investments to maintain its position in ocean energy.

According to OEE, Ursula von der Leyen, European Commission President, has vowed to place competitiveness in clean technologies and innovation at the forefront of the agenda for the next five years. The extent of support for the ocean energy sector is said to serve as an indicator of the depth of this commitment. 

After the takeoff of a $4.6 million funding opportunity in June to accelerate commercialization and support of hydropower and/or marine energy businesses, the U.S. DOE’s WPTO unveiled plans in August to provide up to $112.5 million in funding to advance wave energy technology.