09-13-2016, 06:53 AM
No need for a "source". Electric companies all over the US have been going this route for years. Why didn't HELCO build the geothermal plant? How about that plant North of Hilo that is to burn the eucalyptus trees to make electricity?
How about all of the other wild ideas for renewable energy that have been going on in Hawaii? HELCO wants someone else to take the risk of building/operating the plants. When HELCO goes before the PUC and says, "we need additional generating capacity", the PUC would say "OK, but you cannot raise rates to build the plant." If the plant doesn't make it to production or has some sort of engineering issue, HELCO is on the hook for the $.
Has HELCO built any additional generation facilities themselves? Nope. They "partner" with 3rd party companies that will design/build and then HELCO makes an agreement to purchase the electricity for a negotiated cost. HELCO gets renewable power for a set price without the risk. HELCO can say to the PUC, "See what this renewable electricity costs us to buy? We need to sell it for $ more than what we are paying for it."
How about all of the other wild ideas for renewable energy that have been going on in Hawaii? HELCO wants someone else to take the risk of building/operating the plants. When HELCO goes before the PUC and says, "we need additional generating capacity", the PUC would say "OK, but you cannot raise rates to build the plant." If the plant doesn't make it to production or has some sort of engineering issue, HELCO is on the hook for the $.
Has HELCO built any additional generation facilities themselves? Nope. They "partner" with 3rd party companies that will design/build and then HELCO makes an agreement to purchase the electricity for a negotiated cost. HELCO gets renewable power for a set price without the risk. HELCO can say to the PUC, "See what this renewable electricity costs us to buy? We need to sell it for $ more than what we are paying for it."