San Luis Harbor District delays vote on step towards industrialization

November 27, 2025

Early site rendering of example of integration at Port San Luis.

By KAREN VELIE

Plans to transform Port San Luis Harbor District in rural Avila Beach into an industrial port hit a snag earlier this month when the commissioners delayed plans to vote on a $3 million grant after nearly 100 people showed up to voice their opposition. The small room was not large enough to support public participation.

For years, harbor district staff has discussed plans to industrialize the port, though most negotiations have been in closed session with little information available to the public. On Nov. 18, the commissioners were planning to move forward with the grant.

The California Energy Commission Offshore Wind Energy Waterfront Facility Improvement Program Grant funds are to be used to:

1. Expand the harbor district’s capacity to effectively oversee the development of a potential
Port San Luis terminal and support the realization of a new long-term revenue stream for
the district.

2. Deepen local community, tribal, stakeholder, and government agency education and
engagement on the proposed terminal development opportunity.

3. Position residents, local community organizations, interested stakeholder organizations,
and local tribal individuals and governments to realize benefits from the potential
development of the Port San Luis terminal.

4. Update the proposed Port San Luis terminal’s engineering design and prepare the
project for future development phases (submission of permits).

5. Develop an emissions-reduction strategy for the proposed terminal development project.

6. Identify workforce development and supply chain opportunities for local individuals,
educational institutions, and businesses.

Opponents of offshore wind energy said that by accepting the grant, the board would be giving its approval to industrialize the port without allowing the public to weigh in. In addition, with plans for wind energy off the coast of Morro Bay up in the air, spending the grant money could be a waste of public funds.

The Port San Luis Harbor District Board of Commissioners then voted to delay discussion of accepting the grant until they could find a larger facility to hold the meeting.

President of REACT Alliance Mandy Davis said there are multiple reasons for the board to reject the grant.

“First, there’s the obvious, why in hell would we start to “mature” an industrial port project for an industry that doesn’t exist in the United States and is highly experimental,” Davis said. “Second, the grant money will in no way benefit the port and its current needs for retrofitting and port upgrades…all monies will go to offshore wind sub contractors and various pro wind stakeholders, not the port general fund. Third, why would we be ok with the state wasting millions of dollars of taxpayer money on unnecessary studies when there are already two studies in place studying the feasibility of offshore wind ports on the Central Coast that have not been finished and commented on by the public as mandated.

“Let’s face it, it’s all just smoke and mirrors,” Davis added. “A state that is in financial trouble already wasting precious taxpayer money to try to convince the public that offshore wind is alive and well in California. It is not! let’s just quit prolonging the death throes of an industry that will never work here, or anywhere else in California for that matter.”