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HELCO Energy Services Advisory - March 2010
Written by Sue Gerrod, HELCO, susan.garrod@helcohi.com   
Tuesday, 09 March 2010 20:11
 
sue_garrod.jpgYou are probably aware of our "Blue Planet Foundation's Reliability Standards” report[1] filed recently in the Feed-in Tariff Docket with the Hawaii Public Utilities Commission. To be clear on where things stand right now:
 
  1. There has been no change in HELCO’s acceptance and processing of distributed generation (DG) interconnection applications. We continue to accept and process these applications, in compliance with PUC Tariff Rule 14 and Rule 18. 
  2. HELCO continues to accept Net Energy Meter (NEM) applications up to the existing 3% program level, as described in Rule 18. 
  3. HELCO will also continue to process no-sale DG interconnection applications in compliance with Rule 14.H, and allow interconnections, as described in Rule 14
  4. As in the past, we continue to evaluate each DG application individually, determining the DG-to-Load ratio on the feeder circuit, the possible need for an interconnect study, and the impact of the proposed system on reliability for all customers served by that circuit. 
  5. HELCO is committed to working with stakeholders to address the concerns about reliability and meeting Hawaii’s renewable energy goals. Currently, over 30% of the electricity delivered by HELCO comes from renewable sources such as solar, wind, hydro, biomass and geothermal[2]. We are charged by the PUC with the responsibility of providing reliable power, in compliance with PUC Tariff Rule 2.
  6. Given our responsibility for system reliability we have submitted proposals at the PUC request to address future planning issues that impact all forms of DG interconnection. We will participate with stakeholders in working groups and in the deliberation of these proposals at the PUC.
Our goal remains to get as much cost-effective, renewable energy as possible from a variety of sources on our grids. We hope, in the long term to stabilize and, if possible, reduce the cost of electricity compared to the cost of electricity from fossil fuels. To do so, we must:
 
  • Meet our obligation to provide reliable service for all customers;
  • Ensure that output from existing renewable energy projects is not curtailed as new projects are added; and
  • Avoid situations where new DG projects are added from which the owners cannot get full value because the grid cannot reliably accept the electricity.
We take our responsibility to meet all of these goals very seriously. Please feel free to contact us if you have any questions or need further clarification, at HELCO Energy Services for
  • West Hawaii: Sue Garrod (808) 327-0546              
  • East Hawaii: Jim Moulds (808) 969-0161
___________________________
Additional notes::
  • Our concern is with the relatively small intermittent generators (mostly photovoltaics) being installed on distribution (or neighborhood) circuits. This generation is over and above the utility-scale renewable on the transmission (island-wide) grid, much of which is also intermittent, like wind and run-of-the-river hydro. These concerns focus on Hawaii and Maui islands.
  • Kauai also ranks high in PV per customer. However it is still far behind Hawaii and Maui islands in total intermittent renewables, including among the highest percentage of wind power in the world; Kauai does not have much intermittent wind power on its system. This allows Kauai more flexibility when it comes to interconnecting PV.
  • Oahu has a much larger grid and currently no wind farms or other intermittent renewable resources. Oahu has room for a lot more renewable projects before it faces reliability issues already being experienced on Hawaii and Maui islands.
References
[1] Douglas A. Codiga (Attorney for Blue Planet Foundation at Schlack, Ito, Lockwood, Piper & Elkind, Honolulu, HI), "Blue Planet Foundation's Reliability Standards” and Certificate of Service; Hawaii PUC Docket No. 2008-0273 (Instituting a Proceeding to Investigate the Implementafion of Feed-in Tariffs), Filed: 2/8/2010. To view at http://dms.puc.hawaii.gov/dms/  enter "2008-0273" in Docket Quick Link search box; then click on "Documents." When the new screen  opens after 1-2 minutes with a list of over 380 documents, scroll down to above date and title
 
[2] HELCO Energy Resources, updated 2/9/2010:  Electricity provided by HELCO to its customers on the Big Island is produced from renewable and non-renewable energy sources. Renewables, which mean they can be replenished, are energy sources from nature such as solar, wind, hydro (water), biomass (plants), and geothermal (heat and steam from deep in the earth). Non-renewable energy resources, such as fossil fuels (oil and coal), cannot be replenished. Of the electricity provided to customers by HELCO in 2009, HELCO-owned generation produced 44.7% of the electricity while 55.3% was purchased from independent power producers (IPPs). Renewable energy resources supplied approximately 30.4% of the Big Island’s electricity generation needs in 2009 compared to 32.0% in 2008. Many renewable resources are affected by daily as well as seasonal changes. In the case of wind, these changes can occur instantaneously and fluctuate often.  
  GEOTHERMAL supplied 13.9% of the electricity produced in 2009 compared to 18.8% in 2008. Puna Geothermal Venture (PGV), with an output capability of 30 MW is located in the lower Puna district.
  HYDROELECTRIC supplied 4.9% compared to 2.9% in 2008. Power plants include HELCO’s Puueo and Waiau Hydroelectric Plants and the Wailuku River Hydroelectric Power Company’s plant, all located on the Wailuku River near Hilo.
  WIND supplied 11.6% compared to 10.3% in 2008. In 2006, HELCO began purchasing wind from Hawi Renewable Development’s 10.6 MW wind farm located at Upolu Point in North Kohala and in early 2007, HELCO began purchasing wind power from the Pakini Nui 21 MW wind farm located at South Point. The Pakini Nui wind farm replaces the Apollo Energy Corporations wind farm which was decommissioned in August 2006. Wind generation is also supplied by HELCO’s Lalamilo wind farm located near Waimea which is capable of producing up to 2 MW of wind power.
  SOLAR ENERGY increasingly benefits thousands of Big Island customers by providing electrical power through customer sited small-scale photovoltaic (PV) systems, and by reducing electrical loads through solar water heating. Photovoltaic installations by non-utility generators provide over 6.7 MW of load reducing power. HELCO promotes solar technologies through Net Energy Metering (NEM) and the Sun Power for Schools program.
  FOSSIL FUELS supplied 69.6% of the electricity produced in 2009 (Diesel 16.0%, Residual Fuel Oil 26.4% and Naphtha 27.2%) compared to the previous year of 68.0%. Power plants included HELCO’s Shipman and Hill Plants in Hilo, Puna Plant in Kea’au, Keahole Plant in Kona, and Waimea Plant in Waimea. In June 2009, HELCO completed an upgrade of the Keahole Plant, improving fuel efficiency and increasing its output to 78 MW. IPPs include Hamakua Energy Partners in Honokaa.
A similar mix of renewables in California – small and in-state large hydroelectric, geothermal, wind, solar, and organic waste – supplied about 21.6% of the state’s electricity needs in 2007. With large hydro taken out, renewables supplied 10.6% of California’s electricity in 2008 (Source: California Energy Commission).
 

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