HONOLULU (KHON2) -- Energy officials say Oahu residents narrowly avoided a power generating shortfall that would have added to a series of recent energy supply issues.
Sen. Jarrett Keohokalole expressed frustration, stating, "Here we go again, frustrating. I know this is going to fuel a lot of frustration and anxiety from the community that was already up in arms last time."
Experts attribute the issue to aging infrastructure and a slower-than-expected transition to renewable energy sources. Hawaii Electric Company (HECO) is reportedly pushing the limits of its capacity too often. Current public policy calls for a 33 percent reserve energy capacity, meaning the utility should generate about one-third more power than expected demand.
Mark Glick of the Hawaii State Energy Office noted, "Hawaii Natural Energy Institute's analysis showed that we may start the day with only a 10 percent reserve potential due to maintenance or inadequate units."
The Public Utilities Commission, HECO's main regulator, was asked about its expectations and measures to improve power supply and reliability. An agency spokesperson responded that they "fully expect the state's power utilities to uphold their obligation to provide reliable power now and into the future... monitoring new generation... including projects that will add 800 MW of renewable energy generation on Oahu within years."
However, the necessary improvements come with a cost, and lawmakers are concerned about the financial impact on ratepayers. Sen. Keohokalole emphasized the need for transparency, saying, "When we discuss HECO’s requests for rate increases or financing, we need a clearer understanding of what everyone is getting in return."
Senators recently met with federal officials to explore available support. Sen. Keohokalole said, "We met with the U.S. Department of Energy, and they mentioned minimal to no engagement with the utility for financing new power development, despite competitive funds being available."
Hawaiian Electric Company responded, "To say we aren't applying for federal money or leaving money on the table isn't true." The company has applied for numerous federal grants in recent years and currently has applications pending for over $1 billion for critical projects. They recently secured $95 million to enhance resilience and wildfire safety.
Despite these efforts, HECO faces challenges due to the aftermath of the Maui wildfires. The company sought a federal loan to repower the Waiau plant but was informed by the feds that "litigation overhang" was hindering the loan process. HECO is prepared to submit a formal application once invited by federal authorities.
The state energy office and HECO are actively pursuing every available funding opportunity. Glick noted, "We currently have $250 million in federal grants in play that have not yet been fully evaluated by the Department of Energy, and another $75 million in grants we are preparing to submit."
Lawmakers plan to revisit HECO’s progress on wildfire mitigation and assess power generation and supply adequacy in upcoming inquiries.