Renewable Energy Procurement (RFP Docket No. 2017-0352)

Bringing new renewable energy generation projections online, such as new solar farms, is a lengthy process that requires many steps and regulatory approvals from multiple government agencies, including the Public Utilities Commission. While other agencies review items such as business registration, building permits, and environmental review, the Commission’s review is limited to its role in regulating electric utilities.

HAWAIIAN ELECTRIC’S COMPETITIVE BIDDING PROCESS

Hawaiian Electric’s competitive bidding process involves developers (i.e., companies that specialize in building and operating renewable energy generation facilities) who propose to build projects to meet system needs identified by Hawaiian Electric. These proposals are evaluated using predetermined criteria, and the best proposals are selected to apply for Commission approval. In addition to reviewing the final project proposals, the Commission also reviews the competitive bidding process and appoints an independent observer to monitor Hawaiian Electric and the developers.

The procurement process described in these pages is applicable only to Hawaiian Electric’s service areas on Oahu, Maui, and Hawaii Island, and describes the procurement of large-scale renewable energy projects on these islands. The needs for other islands are not addressed via competitive bidding, with Molokai and Lanai addressed separately in Docket No. 2019-0178 and Kauai addressed separately by its utility, Kauai Island Utility Cooperative.

Hawaiian Electric provides information on its website for active RFPs in the section for Competitive Bidding for System Resources, as well as a Renewable Project Status Board tracking the progress of new and upcoming renewable energy projects.

Procurement Process & PUC’s Role Resource Procurement by Island
Stage 3 RFPs & IDRP Key Orders and Filings

RELATION TO OTHER DOCKETS

Utility-scale renewable energy procurement is key for the transition away from fossil fuels to meet the State’s energy goals. While the focus of this docket is the procurement of renewable energy resources through Hawaiian Electric’s competitive bidding process, there are several additional dockets related to the renewable energy procurement process.

The Integrated Grid Planning Docket (No. 2018-0165) identifies resource needs for Hawaiian Electric that may be met through renewable energy procurement, projects are reviewed in separate dockets once the application for approval of the contract is submitted to the Commission.

The Interconnection Docket (No. 2021-0024) monitors the efforts of Hawaiian Electric and developers to construct, interconnect, and place in service Community-Based Renewable Energy (“CBRE”) and Stage 1 and 2 RFP projects that were approved by the Commission.

The Grid Services Purchase Agreements (“GSPAs”) Dockets (No. 2007-0341 and No. 2022-0041) are the result of Hawaiian Electric procurement of grid services through the aggregation of distributed energy resources (“DERs”) for Oahu, Maui, and Hawaii Island. The procurement of GSPAs occurs in Docket No. 2017-0352 and is similar to the utility-scale renewable energy procurements described above, except that GSPAs represent a virtual power plant made up of customer resources that an aggregator operates, rather than a physical power plant.

MORE INFORMATION

To see more and view all filed documents in the docket, see Docket No. 2017-0352.

See related pages:

Updated 5/2023