The US government gave the green light on Tuesday for the Sunrise Wind offshore wind project from Orsted ($ORSTED (-0,3 %) ) and Eversource ($ES (+1,86 %) ), which is expected to supply more than 320k households in New York with electricity.

Sunrise Wind will be the seventh offshore wind project authorized by President Biden's Department of the Interior offshore wind project that is part of his climate change agenda.

The project is expected to generate 924 megawatts and create hundreds of jobs during the construction and operation phase. The permit stipulates that fewer wind turbines than planned in order to minimize environmental impact.

Sunrise Wind will be about 16 nautical miles south of Martha's Vineyard, Massachusetts and 27 nautical miles east of Montauk, New York.

Orsted is now negotiating the final terms of the agreement and plans to acquire Eversource's interest in the project.