Hawaiian Electric Signs New 30-Year PPA for 208 MW
Hawaiian Electric Company, Inc. has entered into a new 30-year Power Purchase Agreement (PPA) with Kalaeloa Partners L.P. for 208 megawatts of firm capacity renewable dispatchable generation. This New PPA, effective after the current agreement terminates in early 2033, features a reduced fixed capacity charge of $93/kW per year, down from $100/kW per year. It also introduces new pricing and structure for operations and maintenance charges, including variable and fixed components, and an overhaul charge, all escalating with the gross domestic product implicit price deflator. The agreement aims to repower the facility for fuel flexibility and renewable energy qualification, and its effectiveness is contingent upon approval from the Public Utilities Commission of the State of Hawaii.
Key Highlights
- Hawaiian Electric entered a New Power Purchase Agreement (PPA) with Kalaeloa Partners L.P.
- The New PPA is for 208 megawatts (MW) of firm capacity for a 30-year term.
- Fixed capacity charge reduced to $93/kilowatt (kW) per year from $100/kW per year.
- Variable operations and maintenance (O&M) charge set at $0.004/kWh (2023 dollars).
- Fixed O&M charge set at $96/kW per year (2023 dollars) for 208 MW.
- Overhaul component charge is $300/hour (2023 dollars) for each combustion turbine unit.
- The New PPA is subject to approval by the Public Utilities Commission of the State of Hawaii.
Price Impact
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