West Hawaii Today
West Hawaii Today
Hawaii Electric Light Co. will buy 21.5 megawatts of renewable, dispatchable firm capacity, fueled by locally grown biomass, from Hu Honua, pending Public Utilties Commission input, the companies announced Monday.
The 20-year agreement calls for Hu Honua, located in Pepeekeo, to supply the electricity at a price not tied to the price of oil. The biomass energy will replace about 250,000 barrels of oil, officials said.
Hu Honua Bioenergy is converting the former Pepeekeo Sugar Mill into an electric generation facility using renewable biofuel, including locally grown biomass, such as eucalyptus. The facility will have of a biomass fuel yard, steam boiler, turbine and generator. The previous plant used sugar cane waste and later, coal.
Officials estimated Hu Honua will be able to supply about 10 percent of the island’s electricity needs. The plant is expected to be done about 18 months after refurbishment begins.
“Hu Honua’s facility will supply us firm renewable energy at prices that are stable and not tied to the unpredictable world oil market and that is good for our customers,” HELCO President Jay Ignacio said. “With the addition of Hu Honua to the HELCO power grid, over 50 percent of our island’s electricity will be provided by renewable resources.”
Officials said the project will create 80 to 100 jobs during the refurbishment phase and about 30 jobs when the facility begins operations.
They estimated another 100 indirect jobs, in timber and related industries, might also result from the plan.