Clif Hasegawa <[email protected]> Coconut Wireless – Hawaii Gas Manager Kyle Ginoza is a Maui Superstar by Anthony Pignataro. Maui Time - Vol. 20 - Issue 06 - July 21, 2016. Clif Hasegawa <[email protected]> Mon, Jul 25, 2016 at 8:18 AM To: Tommy Russo <[email protected]>, [email protected]Cc: “Mayor Alan Arakawa” <[email protected]>, “Council Member Gladys Baisa” <[email protected]>, “Council Member Robert Carroll” <[email protected]>, “Council Member Elle Cochran” <[email protected]>, “Council Member Don Couch” <[email protected]>, “ Council Member Stacy Crivello” <[email protected]>, “ Council Member Don Guzman” <[email protected]>, “Council Member Riki Hokama” <[email protected]>, "Council Member Michael P. Victorino" <[email protected]>, “Council Member Mike White” <[email protected]>, Maui Tomorrow <[email protected]>, Albert Perez <[email protected]>, Wendy Osher <[email protected]>, Debra Lordan <[email protected]>, “Sierra Club of Hawaii” <[email protected]> LETTER TO THE PUBLISHER AND EDITOR – MAUI TIME Mr. Tommy Russo, Publisher Mr. Anthony Pignataro, Editor RE: Commentary on Coconut Wireless – Hawaii Gas Manager Kyle Ginoza is a Maui Superstar. By Anthony Pignataro. Maui Time Vol. 20 Issue 06. July 21, 2016. Dear Mr. Russo and Mr. Pignataro, Mr. Doug McLeod, former Energy Commissioner for the County of Maui, stated that establishing fixed sources of energy, biomass, hydroelectric is immediately and necessary to ensure energy security particularly with the deactivation and decommissioning of the Maui Electric Company, Ltd. (MECO) Kahului Power Plant (firm power), the cessation of sugar cultivation, closure of Hawaiian Commercial & Sugar Company (HC&S) and the termination of the MECO Power Purchase Agreement with HC&S for firm energy from its biomass facility.
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LETTER TO THE PUBLISHER AND EDITOR – MAUI TIME Mr. Tommy Russo, Publisher Mr. Anthony Pignataro, Editor RE: Commentary on Coconut Wireless – Hawaii Gas Manager Kyle Ginoza is a Maui Superstar. By Anthony Pignataro. Maui Time Vol. 20 Issue 06. July 21, 2016. Dear Mr. Russo and Mr. Pignataro, Mr. Doug McLeod, former Energy Commissioner for the County of Maui, stated that establishing fixed sources of energy, biomass, hydroelectric is immediately and necessary to ensure energy security particularly with the deactivation and decommissioning of the Maui Electric Company, Ltd. (MECO) Kahului Power Plant (firm power), the cessation of sugar cultivation, closure of Hawaiian Commercial & Sugar Company (HC&S) and the termination of the MECO Power Purchase Agreement with HC&S for firm energy from its biomass facility.
To help mitigate the effects of reserve capacity shortfalls MECO has installed temporary distributed generators at substations or other sites, implemented additional load management and other demand reduction measures, and pursued efforts to improve the availability of generating units. To minimize reserve capacity shortfalls sufficient firm energy generating capacity needs to be added to the system. Additionally, please refer to Attachment, Energy Resources – Firm vs Intermittent – Letter to Governor Ige and Lieutenant Governor Tsutsui – December 4, 2014. The County of Maui Waste-to-Energy needs to be revisited in view of MECO plan to retire the Kahului Power Plant (firm energy), the closure of HC&S and loss of the biomass plant (firm energy), the anticipated development of a geothermal plant on Maui by 2024, and the extensive projected use of LNG in the MECO Preferred Plan, now unavailable. LNG is opposed by Governor Ige http://www.staradvertiser.com/breaking-news/gov-david-ige-
opposes-use-of-liquefied-natural-gas-2/ The Governor has stated,
“I think LNG as a transition is an unnecessary diversion of resources. LNG is still a fossil fuel and if we are committed to 100 percent renewable energy, we would make the investment of time and capital. The community would be better off not getting diverted and being focused on 100 percent renewable energy because that goal in and of itself is consuming and will require us to make investments that are better for the long run.” Source: Pacific Business News. http://www.bizjournals.com/pacific/blog/2015/12/lng-is-a-diversion-
from-renewable-energy-focus-gov.htm HECO withdrew its request to the PUC for LNG contract approval on July 19, 2016. Source: Star Advertiser
contract/ The County of Maui Waste-to-Energy Project is an available viable near term solution. The following from the HECO letter to Hawaii Public Utilities Commission from Joseph Viola, Vice President, Regulatory Affairs, August 26, 2014 on Docket No. 2011-0092 is further confirmation of the need for a firm energy source and that time is of the essence.
In planning and operating the power system, care must be taken to ensure that under any circumstances, the system remains operable following the largest single potential loss of energy. This largest possible loss might be due to a trip of a particular generating plant or the loss of critical interconnection equipment. This requirement is known as the single largest contingency criteria and is included as a requirement within TPL-001. The system is able to withstand the loss of the largest single contingency through the implementation of contingency reserve.
Contingency reserve can be provided through resources that respond immediately and automatically to system imbalances. This can include resources such as conventional generation with governor’s response, energy storage, or through “fast-acting” demand response.
The amount of legacy DG-PV on the Maui Electric system on Maui Island should not exceed 10 MW. Quantities in excess of 10 MW can result in excessive load shedding and the potential for system collapse. Improved relaying and communications are assumed to be installed in 2015 to help mitigate the potential for this consequence.
Years 2017 and 2019 represent significant changes to the Maui Electric system with the addition of substantial amounts of DG-PV and the permanent retirement of the four generating units at Kahului Power Plant.
The security constraints for years after 2016 assume that the utility will have the capability to install an energy storage system to meet the criteria. Note: Underdevelopment, not ready to be placed on-line.
Implementation of this Preferred Plan would safely transform the electric systems of Maui, Lanai, and Molokai, and achieve unprecedented levels of renewable energy production. The electric systems of the future would be balanced portfolio of renewable energy resources, thermal generation, energy storage, and demand response.
The Preferred Plan for the island of Maui reduces “must-run” generation, increases variable renewable energy, and uses firm renewable sources to help stabilize the grid.
To move to a future with substantial variable renewable energy, the physical design of the system must be able to operate safely and reliably.
The current generation fleet of Maui Electric is comprised of:
Four (4) Steam Units: located at the Kahului Power Plant, these units provide firm generation, regulating reserve, system inertia, voltage support to central Maui, contribute to system security. These units use an industrial fuel oil that is lower cost than diesel.
Two (2) Dual Train Combined Cycle units: located at the Maalaea Power Plant, these units are the most efficient generating resources on the island. These units provide firm generation, regulating reserve, system inertia. These units can start and provide generation in a relatively short time period.
Fifteen (15) Internal Combustion Diesel Engines: located at the Maalaea Power Plant, these units provide firm generation and regulating reserve. These units can start and provide firm generation in a relatively short time period. Five of these units (X1, X2, M1, M2, and M3) are quick starting units that can be used for emergency and transition unit to starting a larger diesel unit.
Two (2) Internal Combustion Diesel Engines: located in Hana, these units provide firm generation and primarily provide support to the Hana area during transmission maintenance and system disturbance.
Eight (8) Internal Combustion Diesel Engines: located in Lanai –Miki Basin. These units can start and provide firm generation in a relatively short time period.
Nine (9) Internal Combustion Diesel Engines: located in Molokai–Palaau. These units can start and provide firm generation in a relatively short time period.
1 Combustion Turbine Engine: located in Molokai–Palaau. This unit provides firm generation and peaking load capability.
THE PREFERRED PLAN FOR MAUI
“DG-PV continues to increase from 2015 through 2030. DG-PV resources can possibly be obtained through either customer rooftop or larger-scale community solar projects.
“In 2017, Maalaea Units M14, M16, M17, and M19 combustion turbines are converted to use LNG.
“Kahului Unit 3, Kahului Unit 4, one dual-train combined cycle and one single-train combined cycle units are designated as “must run” for system security. “In 2019, Kahului Power Plant is decommissioned and ten megawatts (MW) of wind is added to the system. Two LNG fired 8.14 MW internal combustion engines (ICE) are installed at Waena as cycling units. Three ULSD [Ultra Low Sulfur Diesel] -fired 8.14 MW ICE are installed in South Maui for contingency and capacity purposes. One dual-train combined cycle and one single-train combined cycle units are designated as must run with a 20 MW regulating-reserve energy storage system for system security. Notes, supplied: 1. Wind is not a firm energy resource] 2. HECO Award on Request For Proposal issued in 2015 for ULSD, Biodiesel (B99) and/or Biodiesel Fuel Blend (B20) is pending PUC approval. https://www.hawaiianelectric.com/clean-energy-hawaii/request-for-proposals---fuels-supply/request-for-
proposals---interisland-fuels-supply
“In 2024, a 25 MW geothermal plant is installed. Two ICE units would be relocated from South Maui to Waena, converted to LNG, and operated as cycling units. One dual train combined cycle unit and a new geothermal plant are designated as must run with a 20 MW regulating-reserve energy storage system for system security.”