Attorneys and a state Senator are getting involved in a
still-unawarded geothermal contract Hawaii Electric Light Co. (HELCO)
had originally said would be awarded before the end of 2013. The RFP was
posted in early 2013 and asked for a 50-MW influx of geothermal power
development on the Big Island of Hawaii.
Disruptions caused by the
continuing delay include losses of the companies that submitted
proposals, and a breach of public trust lawsuit has been brought against
the State of Hawaii; Governor Neil Abercrombie; the Public Utilities
Commission (PUC); Department of Commerce and Consumer Affairs;
Department of Business, Economic Development, and Tourism; Hawaiian
Electric Company (HECO); Maui Electric Company; Hawaii Electric Light
Company (HELCO); and Hawaiian Electric Industries (HEI).
Hawaii State Senator Malama Solomon requested an explanation from
both the PUC and Boston Pacific Company, the Independent Observer of the
proposal, in a January letter. But consultant Sam Choi of Boston
Pacific also sent a letter that indicates delays are likely due to poor
planning by HELCO.
“I strongly believe the recent actions of HECO/HELCO in the
Geothermal 50-MW RFP demonstrate that HECO is intent on delaying (and/or
preventing) geothermal development on Hawaii Island,” Solomon wrote in her letter.
“This is due to HECO’s preference for fossil fuel and bio fuels for its
own plants to the detriment of the development and integration of other
renewable sources of energy.”
Solomon is Chair of the Committee on Water and Land and actually
voted in committee for a Senate bill (S.B. 2940) to ban hydraulic
fracturing that some have said is being used to raise opposition against
geothermal development. The committee statement says, “[I]ssues of
oil/gas leakage, injection of highly pressurized fluids, etc. do not
apply to the only relevant application in Hawaii, geothermal drilling,
since fracking is used in areas with hot, dry rock with poor
permeability rather than the geological formations found in Hawaii.
Therefore, this measure may create false impressions of unfounded risks
to geothermal production in Hawaii.”
But for many of these same reasons, geothermal developers are
opposing the bill. Speaking against the House companion bill (H.B. 2359)
in a joint hearing by
the House Committees on Energy & Environmental Protection and Water
and Land, Mililani Trask, who advises Innovation Development Group,
explained that fracking in Hawaii’s already permeable rock does not make
sense. “Why do we have this bill? … It’s a fabrication to create
hysteria against geothermal development,” she said at the hearing.
Innovation Development Group is a local Hawaiian company that has bid on
the geothermal RFP.
The Department of Land and Natural Resources provided a statement in
opposition to the bill. “The Department does not wish to prohibit the
use of any future tools or methods which, if used properly, could help
Hawaii’s energy needs, including its Clean Energy Initiative goals. The
Department recognizes the concern caused by the potential use of
hydraulic fracturing, and if such a method were proposed, would take all
necessary steps to ensure that it would adhere to all regulations to
ensure public safety and the preservation of this public trust
resource.”
Huena Power is another local company seeking explanation for the contract delay. Their counsel representative William Milks has requested a meeting with HELCO and the PUC.
This week Ed Wagner of Mililani, Hawaii circulated information about
the delays to energy organizations and stakeholders as well as senators.
Wagner is an HEI ratepayer and a plaintiff in the class action case. He
opposes the bills that would ban hydraulic fracturing in Hawaii: “It is
time for S.B. 2940 / H.B. 2359 ludicrous geo-fracking bills to die and
never to be heard from again,” writes Wagner. “They were introduced solely for
the purpose of helping HECO stop the use of our vast geothermal
resources and support HECO’s use of oil and bio-fuel for another 20
years to protect its profits at all costs.”
The Puna geothermal facility provides 20 percent of power
on the Big Island. There is also a significant amount of untapped
geothermal in Hawaii, as shown in the visual:
On the left, USGS heat-in-place estimates show
a conservative 95 percent confidence that there are at least 900 MW of
geothermal resources, while the mid-range likelihood is closer to 2,200
MW. The broader estimate reveals that geothermal resources could
potentially even double the total system power capacity of the State of
Hawaii, which was given at ~2,500 MW in EIA’s Hawaii Electricity Profile 2010. On the right, the GeothermEx map of the Big Island shows high-temperature resource areas in orange.
Recognition is growing in the Pacific as well as in the Caribbean
region and beyond for the significant benefits of geothermal power to
island economies. American Samoa, the Canary Islands, Dominica,
Guadeloupe, Jamaica, Nevis, and St. Lucia are just some that have taken
steps toward exploring and developing geothermal resources, and Iceland
derives all of its power from geothermal and hydro.
http://www.renewableenergyworld.com/rea/news/article/2014/03/hawaii-senator-blasts-agencies-for-geothermal-project-standstill
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