A Massachusetts Superior Court has issued a preliminary injunction to Vineyard Wind, preventing GE Vernova from withdrawing its involvement in the offshore wind project near Martha’s Vineyard, according to court documents shared by US media.
The ruling on April 17, following an April 16 hearing, stops GE Vernova’s planned termination of the Turbine Supply Agreement (TSA), initially set for April 28.
Vineyard Wind, a collaboration between Avangrid and Copenhagen Infrastructure Partners (CIP), sought the injunction after GE Vernova notified them of contract termination. This was viewed as an attempt to leave the project during a crucial phase.
The 806 MW Vineyard Wind 1 offshore farm, featuring 62 GE Vernova Haliade-X 13 MW turbines, was recently finished, with commissioning in progress.
The court filing from April 17 indicates Vineyard Wind argued the two-year project delay was due to defects in turbine blades made and installed by GE. A blade failure in 2024, involving a blade breaking and falling into the ocean, led to environmental cleanup and blade replacements, hampering construction.
The document reveals that a project engineer found GE liable for over USD 500 million (around EUR 425 million), causing Vineyard Wind to withhold USD 308 million (around EUR 264 million) in payments based on these findings.
GE attempted to end the contract under a clause allowing termination if “amounts due” aren’t paid per terms, claiming the offsets activated this right.
The court determined Vineyard Wind has a reasonable chance of success, highlighting the contract permits offsets based on the engineer’s findings and lacks a cap on them. It also ruled that Vineyard Wind’s payment withholding might mean no “amount due” exists as needed for termination under GE’s cited clause.
The judge noted GE hadn’t used the contract’s dispute resolution to contest the engineer’s findings.
The court accepted Vineyard Wind’s claim that termination would cause irreparable harm, citing GE’s unique technical role and technology, making replacement impractical and risking project financing and progress.
The ruling specifies GE wouldn’t suffer irreparable harm, as it hadn’t pursued contractual remedies following 2024 offsets.
The court ordered GE to disregard its February 27 termination notice and continue fulfilling both turbine supply and service agreements.
GE must not stop or change its performance based on the intended termination, as per the court order.
This decision maintains GE’s role as contractor while the larger contract dispute is resolved.
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Original Story at www.offshorewind.biz