Project Overview
Proposer Name: Hamakua Energy, LLC
Parent Company: Hamakua Holdings, LLC (owns 100% membership interests in Hamakua Energy, LLC); Pacific Current, LLC (owns 100% membership interest in Hamakua Holdings, LLC)
Project Name: Hamakua Firm Renewable Energy Project
Project Capacity (MWs): 60 MW (2 Combustion turbines (44 MW Gross); 1 Steam turbine (16.5 MW Gross); Battery Energy Storage System (“BESS”) rated at 7.5 MWs (30 MWhrs, 4 hours duration)
TMK of Facility Location:
- TMK (3) 4-5-002-056 (Lot 2-A) (Facility location)
- TMK (3) 4-5-002-057 (Lot 3-A) (Location of Haina switching station)
- TMK (3) -4-5-002-058 (Lot 4-A) (location of drain water ponds)
Point of Interconnection’s Circuit or Substation Name: Haina Substation (Switching Station)
Project Description:
Hamakua Energy, LLC (“HE”) is pleased to announce the conversion of its existing plant at 45-298 Haina Camp Road, Honoka’a, Hawaii 96727 to a firm renewable energy project. The renewable project is a 60 MW combined cycle power plant fueled 100% by biodiesel.
The current site at 45-298 Haina Camp Road, Honoka’a, Hawaii 96727 hosts a 60 MW combined cycle plant with two combustion turbines and one steam turbine. The current combined cycle plant has been in operation since 2000, providing 60MWs of capacity to the Island of Hawaii for over 20 years.
The renewable project proposes to migrate the existing 60 MW combined cycle plant to 100% biodiesel. The Project would utilize the existing facilities performing major rebuilds of the combustion and steam turbines, prior to the start of the PPA term for GCOD on 12/1/30. In addition, the project proposes to transition all three of its existing on-site storage tanks – one (1) storage tank with 350,000-gallon capacity and two (2) storage tanks with 1,400,000-gallon capacity each – to 100% renewable fuels (e.g., biodiesel).
The BESS would be sited at a location adjacent to the current Haina Switching Station
Environmental Compliance and Permitting Plan
Land Use:
Hamakua Energy’s proposed renewable dispatchable generation project will be sited on the 6.6-acre facility site, TMK (3) 4-5-002-056 (Lot 2-A), of the existing Hamakua Energy operation that was constructed under Special Permit No. 939 issued by the County of Hawai’i in 1996 which permitted the construction and operation of a cogeneration power plant facility and released uses and improvements within Hawaii County’s Agricultural zoned district. Accordingly, no new land use permit will be required for improvements within the boundaries of the existing facility.
The existing utilities electrical infrastructure (e.g., interconnection facilities, switchyard, and transmission facilities) on Parcel TMK (3) 4-5-002-057 (Lot 3-A) are permissible uses for land of classified as “Agricultural” and County zoning of “General Industrial District.”
However, for construction and operation of the new BESS on a portion (i.e., approximately one acre) of Parcel TMK (3) 4-5-002-057 (Lot 3-A) a new Special Use Permit will be required from the County of Hawaiʻi. HE will be preparing an application for a Special Use Permit for this particular parcel.
Environmental Permits and Approvals Strategy
All the applicable environmental permits for the renewable dispatchable generation project proposed by Hamakua Energy LLC are identified in our Permits Summary Table. The following permits require periodic renewal:
- Notice of General Permit Coverage (NGPC) covered under the State of Hawaiʻi’s National Pollutant Discharge Elimination System (NPDES) permit. In Hawaiʻi, certain industrial activities are covered under this general NPDES permit. Steam-electric power generation facilities, such as the proposed renewable dispatchable generation project, are among the industrial activities covered by this permit. Coverage under the NGPC lasts for a maximum of five (5) years and depends on when the State NPDES permit expires, which also expires approximately every five (5) years. For the past twenty (20) years, the NGPC for the existing Hamakua Energy LLC Facilities has been renewed within the 5-year term window. For example, if the State NPDES permit expires in January 2028, and the NPGC permit expires in 2025, an application for renewal of the NPGC permit would be granted for only three (3) years and expire coincident with the NPDES permit. Thereafter, both the NPDES and NPGC permits would be renewed every five (5) years for 5-year terms.
- The Covered Source Permit (CSP) is for air emissions and is subject to all State Rules and Federal Regulations that are not necessarily referenced in Covered Source Permit. Renewal application shall be submitted no less than 12-months and no more than 18-months prior to the permit expiration date. Hamakua Energy LLC has applied for renewals accordingly, however, the State Department of Health (DOH) has not issued a new (or renewed) permit since the old one expired in 2014. In the interim, several permit modifications have been submitted and accepted by DOH, including the Green House Gas (GHG) Emissions Reduction Plan, GHG Partnership, Simple-cylce operation, and Operation on biodiesel fuel. DOH guidance is to operate under the existing permit (expired 2014) and with modifications subsequently approved by DOH and with DOH in process to renew the permit eventually and accordingly.
- Other permits listed in Permits will either be renewed prior to their expiration date as has regularly occurred in the past, or do not require renewal.
Project Plan
City Zoning and Land Use Classification:
There are two relevant land parcels:
- Parcel TMK (3) 4-5-002-056 (Lot 2-A) covers 8.4531 acres at the north end of Haina Camp Road, as shown on map from the County of Hawaiʻi Real Property Tax Office, Parcel Map 2A. As indicated on Exhibit 2. Property Class is “Agricultural” (i.e., State Land Use designation of being in an Agricultural District). As indicated on the Haina-Honokaʻa Zone Map from the County of Hawaiʻi the parcel is in the “MG-1a” zone, or “General Industrial District,” County Zone Map . The renewable firm dispatchable generation facility will be located on the portion of this parcel (i.e., 6.6 acres) for which Special Use Permit No. 939 was issued by the County of Hawaiʻi on August 8, 1996.
- Parcel TMK (3) 4-5-002-057 (Lot 3-A) covers 16.904 acres at the north end of Haina Camp Road, as shown on map from the County of Hawaiʻi Real Property Tax Office, Parcel Map 3A . As indicated on Project Site , the Property Class is “Agricultural” (i.e., State Land Use designation of being in an Agricultural District). As indicated on the Haina-Honokaʻa Zone Map from the County of Hawaiʻi the parcel is in the “MG-1a” zone, or “General Industrial District,” County Zone Map . This utilities electrical infrastructure (i.e., interconnection facilities, switching station, and transmission lines) are permissible uses on land with the State Land Use designation and County of Hawaiʻi zoning.
Discretionary and non-discretionary Land Use, environmental and construction permits and approvals/ Listing of permits and approvals:
A summary identifying all applicable permits and approvals is provided in tabular format in Permits. These permits were originally obtained for construction and operation of the existing Hamakua Energy LLC Facilities. They will be retained and/or renewed, as appropriate and/or required, for the proposed renewable dispatchable generation project.
Preliminary environmental assessment of the site (including any pre-existing environmental conditions)
The existing Hamakua Energy LLC Facility has all of its environmental permits in good standing and has not experienced any violations. Moreover, when during due diligence prior to acquiring the facilities and land parcels from ArcLight Capital Partners LLC in 2017, it was determined there were no legacy environmental liabilities associated with the acquisition.
Cultural Resources Impacts
Proposal to Identify and Protect Cultural Sites
Located near Honoka’a, on the northern coast of the Island of Hawaii, the Project is located on a 26-acre site owned by Hamakua Energy, LLC. The project is on a 6.6-acre portion of the site with an existing Special Permit No. 939 issued by the County of Hawaii in 1996, and it not having a termination date, the proposed renewable dispatchable generation project on land Parcel TMK (3) 4-5-002-056 (Lot 2-A) already has all requisite land use permits for the proposed term of the project.
The existing utilities electrical infrastructure (e.g., interconnection facilities, switchyard, and transmission facilities) on Parcel TMK (3) 4-5-002-057 (Lot 3-A) are permissible uses for land of classified as “Agricultural” and County zoning of “General Industrial District.”
The property was part of the former Hamakua Sugar Company Haina Mill site which was used to process sugarcane into raw sugar. It is located immediately west of the former Mill complex and is bounded to the south, north and east by paved and unpaved roads formerly part of the plantation roadway system. In 1992, HSC entered into bankruptcy, and in 1994, after its last harvest, the mill was shut down and dismantled.
The main facilities of the HSC mill were situated within lands zoned for industrial uses and designated as Urban by the State Land Use (SLU) Commission. A 6.6-acre portion was situated within the SLU Agriculture District. The existing Hamakua Energy power plant was located largely within the SLU Agriculture District to minimize potential impacts to the surrounding area. When originally permitted these lands were approximately forty (40) to fifty (50) feet lower than the surrounding residential area, reducing potential noise and air quality impacts.
The land on which the plant was built had long been host to industrial activity. These lands have been disturbed, with a large portion having been paved as part of mill activities. The Special Permit granted to the project in 1996 (SPP 96-12) affirmed that the power plant is “consistent with the goals, policies and standards of the General Plan.” The proposed Project will not create any additional visual or negative environmental impacts.
Archaeological Literature Review and Field Inspection Report
Hamakua Energy LLC performed its due diligence prior to acquiring the facilities and land parcels from ArcLight Capital Partners LLC in 2017. The special use permit application from Enserch Development Corporation notes in Section IV. Environmental/ Technical Data subsection D Historic Sites “The subject area has been extensively disturbed during its use as part of the HSC sugar mill activities. Accordingly, no archaeological resources are associated in this area”.
Community Outreach
The Project will benefit from the positive history of Hamakua Energy plant operating in Honoka’a with no significant safety or environmental concerns as well as any activities or incidents shedding negative light to its existing operations. The Project will not significantly change the visual, environmental attributes, water/ water quality, noise levels or traffic impact of the existing power plant. The project makes use of equipment that has been in place since 2000 and replaces a petrochemical based fuel supply with a plant-based fuel, thereby reducing the overall carbon footprint.
The plant is not owned by HELCO but sells energy into the electric grid on a competitive basis. The plant is a key reliability resource that helps make it possible to operate the grid with more wind and solar resources. The plant produces clean, cost-effective energy.
The project modernizes the plant so it can operate well into the future with fewer carbon emissions.
Most of Hamakua Energy plant’s current personnel live in Honoka’a and the surrounding communities, and several of them have deep roots in the town of Honoka’a dating back to the plantation days. Hamakua Energy also has employed local Honoka’a residents across two generations. Plant personnel are active volunteers in the community, contributing to arts, academic and athletic programs in the school district, providing leadership to the local Boy Scout organization, Special Olympics, and Relay for Life. Our team looks forward to continuing its history of being a part of the Honoka’a community.
Community scoping
Hamakua Energy’s outreach team will comply with all required public notification and engagement activities. We have had several individual meetings in the community to communicate the Project’s vision, goals and requirements for successful completion, while gathering community input in an informal, open and interactive setting. Informal meetings have been held with school administration personnel and business leaders in the central Honoka’a business district.
Now the project has been selected, we will organize more formal meetings, inviting the community-at-large. These meetings will be noticed in ads and articles in the local newspaper, the Hamakua Times, and by distributing and posting meeting notices.
Our local outreach team will proactively explain the Project benefits, safety features and environmental footprint, as well as share its approach to mitigate potential impacts.
Communications strategy
Hamakua plans on using several forms of communication to ensure the community has access to the most up to date project information. The communications mediums will include:
Website and Social Media: A dedicated project website will be developed to provide a forum where interested parties can go to get current and accurate information about the project. In addition, we will share frequent updates on social media of project status.
Marketing Materials: Hamakua Energy will invest in the development of the following materials that will be used to support its outreach efforts:
- Informational fact sheet – flyer/infographics
- Presentation materials tailored to specific audiences.
- Statements and letters of support
Stakeholder Briefings: Briefings will be conducted with targeted audiences through one-on-one or group meetings including open houses. Priority will be placed on elected officials, area businesses and key industry stakeholders identified in the Community Outreach section.
Community Outreach
Respondent’s outreach team will conduct one-on-one or small group meetings with area businesses, elected officials and industry partners that may be affected by the project.
- Elected officials for the Hamakua Coast and Big Island
- Area businesses and Institutions
- Key stakeholders for Hawai’i’s clean energy future
Our local outreach team will identify and meet community leaders to engage on the project and address in any questions from the local community.
Community Benefits Package
As part of the project’s community benefit commitment, Hamakua Energy will commit at least $180,000 per each year of the contract term to be spent in support of various community initiatives that are consistent with the Projects core values. This will include financial support to the Honoka`a School District, the Kohala School District and Palamanui Community College in Kona. Respondent has met with leadership and teachers in the Kohala and Honoka`a Districts to identify grant opportunities that help achieve our goal of environmental awareness, STEM skills and knowledge and work skills that the students can carry thru their lives. Donations will be made to support community food assistance programs and contributions will be made to the Red Cross to help them continue their essential work on the islands. Hamakua Energy will continue to engage with the community to ensure we prioritize and support initiatives that provide the appropriate impact to the community. An initial list of these ideas have been developed and will be revisited with the community representatives and stakeholders to ensure it meets the current needs and priorities of the community.
Hamakua will continue to seek input from the community prior to finalizing the annual budgets for the community benefits package. Hamakua’s commitment to support programs that define and enrich our communities will not wait to begin with the 2030 on-line date. Many of these programs, and others, have received support over the years. And funding for these initiatives will start ramping up once the proposed Project receives PUC approval.