Hawaii, photographed in October 2013. Source: Flickr / Brent
Hawaiian Electric Co (HECO) has kickstarted a colossal clean energy tender, seeking providers of 900MW worth of renewables and energy storage projects.
The tender launched on Monday is the largest renewables procurement ever issued in the state, with an estimated capacity of 2,000GWh annually.
The investor-owned utility is soliciting 594MW worth of solar for O'ahu island – together with 135MW for Maui and up to 203MW for Hawai'i – from local and global developers.
All renewables for Maui and Hawai'i must include energy storage, whereas on O'ahu, such partnerships remain optional.
Hawaii has pledged to be powered entirely by renewables by 2045. O’ahu’s 180MW AES coal-fired power plant, which meets 16% of peak power demand on the island, is due to close by September 2022. On Maui, the 27.6MW Kuhului oil-fired plant will be decommissioned in 2024.
Storage on O'ahu and Maui is also being sought to replace firm generating units, which can be provided by renewable generation paired with storage or standalone storage. Contingency storage is also being sought for O'ahu and Hawai'i islands.
Clean energy moves later this year for smaller islands
The winning projects are expected to be selected by May 2020 and come online between 2022 and 2025.
A separate request for proposals for grid services from customer-sited distributed energy resources on O'ahu, Maui, and Hawaii was also launched. The winning projects, which can range from 4-119MW, are expected to be awarded in January 2022 and come online by 2022 at the latest.
According to the HECO, Hawaii’s public utilities commission has engaged independent observers and technical advisers to ensure that all proposals are treated fairly and equitably “due to the complexity of projects sought.”
Later this year, HECO will issue requests for proposals for renewables for two of Hawaii’s smaller islands, pending approval by the state's public utilities commission. It will seek the equivalent of 4MW of solar-plus-storage or 3.6MW of wind-plus-storage for Moloka’i. The equivalent of around 9.5MW of solar-plus-storage will be pursued on Lana’i.
In the first phase of Hawaii’s renewables procurement in 2018, eight projects totalling 260MW/1GWh of solar-plus-storage were negotiated on O’ahu, Maui and Hawai’i. Prices arranged for those projects, which will come online by 2021, average 9.38 US dollar cents per kWh, lower than the current cost of fossil fuel generation, which is about 15 cents per kWh.
US solar prospects amid alliances with the energy storage sector will take centre stage at Solar Media's Solar & Storage Finance USA, to be held in New York on 29-30 October 2019
The USA solar pipeline hit 9.8 GW in August 2019, according to market analysts, Wood Mackenzie so what does this mean for the solar sector moving forward? Are module shipments constrained? Have manufacturers raised prices for late-comers? What impact will this have on 2020 projects and what can we expect for the ITC negotiations? These questions and more will be discussed in this informative, free webinar. - With almost 10 GW of solar pipeline, how is this affecting the supply chain and cost for panels? - How likely is it that the ITC will be renewed, what trends are emerging in terms of beating the step down? - How helpful are emerging trends and technologies (e.g. bifacial panels, floating solar, data aggregation and management) in helping to beat the ITC step down? - Trade wars: what impact did section 201 have on the market, and what could we expect moving forward This webinar acts as a primer for the Solar & Storage Finance Summit which takes place on 29 & 30 October in New York City.
Now in its sixth successful year, Solar & Storage Finance USA is the only event which looks at raising capital for solar, storage and collocated solar and storage projects in the USA. The conference will help delegates understand how providers are evolving propositions for storage and how they can access capital for standalone solar or storage, and co-located projects. Meet debt providers, funders, utilities, corporate off takers and blue chip energy firms with capital to invest and developers with credible pipelines.