Hawaii had to look for alternative sources of oil during the global crisis. Oil was a major fuel source for the islands, and it was imported in huge quantities. Hawaii imported 29 million barrels worth of crude oil from foreign countries in 2016. Hawaii has made efforts to increase wind and solar energy production. However, it is not likely that Hawaii will ever be able to build its own nuclear power plants.
The Hawaiian Clean Energy Initiative was founded in 2008 to achieve the goal of meeting 70% Hawaii's electricity demands by 2030. The initiative brings together business leaders, policymakers, and community members to advance the transition to renewable energy. It was also developed in partnership with U.S. Department of Energy. In addition to wind and solar, the Initiative also includes concentrating solar power, solar thermal energy, biofuel from algae, aquaculture, and desalinating drinking water for export.
Hawaiian Electric Companies, the state's largest electric utility, set a goal to become 100% renewable by 2045. Hawaiian Electric also plans to close the last coal plant in Hawaii by 2022. Hawaiian Electric, however, is still relying upon oil to charge its batteries until renewable energy can be developed. The utility raised concerns with the Hawaii Public Utilities Commission over the potential dangers associated with charging its battery from oil-fired power sources.
Hawaiian Electric has also vowed to close the Barbers Point coal plant, which is operated on West Oahu. In doing so, it will take 40 full-time jobs away from the community. The company plans to reassign these employees to other positions in Hawaii. The utility has recently announced plans that it will revamp the state's grid.
As part of its grid modernization strategy, Hawaiian Electric Companies has engaged more stakeholders in its planning process. The company submitted recently a plan to Hawaii Public Utilities Commission. The plan laid out the company’s priorities and highlighted how a comprehensive grid modernization strategy is important. It also outlined how the company would integrate customer input into its planning process.
The company plans to install a large energy storage system on its system. The system acts as a giant battery. It is intended to ensure that Hawaii has a stable source of electricity when the AES coal plant closes in 2022. The system will include over 3 megawatts of PV generation, 4.5 megawatts of energy storage, and over three thousand megawatt-hours of energy storage.
Hawaiian Electric was recently asked by the PUC for a report on how Hawaiian Electric is meeting its renewable energy targets. It also ruled that the company cannot require community-based renewable energy programs to have battery storage.
Initially, the Hawaiian Electric Companies planned for the state to have a one-way flow of energy. This plan has now been revised to address the concerns about a 2-way flow of electricity. To increase energy flow, Hawaiian Electric Companies will be working together. The company proposes a new system approach to energy planning.