The U.S. on March 26 said it has given final approval to the Sunrise Wind offshore project jointly developed by Ørsted and partner Eversource, marking a turn for a project once in danger of stalling due to economics.

Located offshore New York, the 924-megawatt (MW) project with up to 84 wind turbines is expected to provide enough energy to power approximately 320,000 homes. When complete in 2026, Sunrise Wind is expected to be the nation’s largest offshore wind project.

The approval by Bureau of Ocean Energy Management solidified Ørsted and Eversource’s commitment to the project, with both taking final investment decisions.

“New York is already home to the trailblazing South Fork Wind project, and with Sunrise Wind we’ll build on that foundation, broadening the economic benefits of offshore wind while delivering far more clean renewable power,” said David Hardy, executive vice president and CEO of Ørsted’s Americas region. “With the federal record of decision in hand and our final investment decision having been made, we can continue to create hundreds of local union jobs and stand up a vibrant supply chain.”

Word of the Sunrise Wind’s final approval came nearly one month after the project was named as one of the conditional winners of New York’s fourth offshore wind solicitation. The solicitation offered by the New York State Energy Research and Development Authority (NYSERDA) allowed companies to get out of their old contracts and enter new ones to lock in better prices. The opportunity was given after a failed attempt by Ørsted and other wind developers to renegotiate contracts.

Ørsted has said it plans to become the sole owner of Sunrise, acquiring Eversource’s 50% stake in the project, after signing the NYSERDA contract. Eversource will continue to lead onshore construction of the project, according to a news release.

The U.S. offshore wind industry faced challenging market conditions in the past year. Climbing interest rates, supply chain difficulties and inflation put projects, including Sunrise Wind, in jeopardy.