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Clean Energy

Feed-In Tariff Program

Hawaiian Electric Company's Feed-In Tariff ("FIT") program is designed to encourage the addition of more renewable energy projects in Hawaii. Pre-established FIT rates and standardized FIT contract terms provide an easy way for individuals, small businesses, governmental entities, or other developers to sell renewable energy to Hawaiian Electric. This site provides information to help prospective FIT generators determine the feasibility projects and submit them for approval.

 _________________________________________________________________ To view the FIT Queue, you will leave Hawaiian Electric's secured website and be taken to the Accion Group's website, please click here _________________________________________________________________ 

 

UPDATE

Decision and Order No. 32499

Public Utilities Commission press release dated December 8, 2014 – The Hawaii Public Utilities Commission (“PUC” or “Commission”) approved, with certain conditions, a Joint Plan for the administration of the Feed-In-Tariff (FIT) program queues to address important issues and promptly move "shovel ready" projects to completion.  The FIT program is a set of standardized, published rates under which each of the HECO Companies procures distributed renewable energy resources (based on project size), such as solar and wind.  The FIT program was approved as a two-year pilot to facilitate renewable energy project development in Hawaii and has enabled development of approximately 15 Megawatts of clean, solar power in Hawaii. More FIT projects are in development and their completion will be accelerated by the Commission’s order.

The FIT program has an “active queue” of renewable energy projects that was intended to be “shovel ready”, and only required coordination with the HECO Companies in order to commence construction.  In addition, there is a “reserve queue” of potential projects that could not be accommodated under the existing FIT program’s capacity constraints.  The projects in the reserve queue were not guaranteed a place in the active queue.  It is apparent that not all of the projects on the active queue were built during the requisite construction period, with many projects remaining on the active queue well beyond the designated time period.  

The PUC directed HECO and the Independent Observer to develop a plan designed to move “shovel ready” renewable energy projects quickly to completion.  In the Order issued today, the commission directed the HECO Companies, with the agreement of an independent observer, to immediately review the applications in the active queue, and to remove those that are incomplete or that fail to meet certain guidelines.  The HECO Companies are required to give adequate and timely notice to the applicants prior to their removal from the active queue.   Applicants facing removal are given a grace period to establish the ability to complete the project quickly.

Given that there is no additional capacity available to be allocated to the existing FIT program, the Commission also ordered the termination of the reserve queue.  The Commission further ordered the utilities to promptly refund the application and other fees previously paid by those in the reserve queue.

The Commission’s action is designed to address immediate issues concerning the existing FIT program queues in response to claims that the queues have been mismanaged by the utilities and gamed by developers. The Commission will continue to address issues concerning the FIT program on a “going forward” basis in a recently-initiated proceeding to investigate distributed energy resource (“DER”) policies.   The purpose of the DER docket is to investigate the technical, economic, and policy issues associated with DER – including the FIT program - as they pertain to the ongoing and future electric operations of the HECO Companies.

 

September 30, 2013 Hawaiian Electric Companies and the Independent Observer submitted their Joint Plan for Queue Administration to the PUC. Hawaiian Electric Companies are currently awaiting comments from the Consumer Advocate and Interveners.

August 27, 2013 the Public Utilities Commission initiated an investigation to reexamine the existing feed-in tariff program (Docket No. 2013-0194) for Hawaiian Electric Company, Inc.

December 11, 2012 Update:

Please be advised that Hawaiian Electric has completed the cleanup of the Hawaiian Electric Feed-In Tariff program queue (“FIT Queue”), which was conducted pursuant to PUC Orders 30457, 30635 and 30659.

Accordingly, the Hawaiian Electric FIT Queue will be reopened to receive new applications on Wednesday, December 12, 2012 at 9:00AM HST.

Projects that have been affected by the FIT Queue cleanup should have received a notice in their My FIT Docs folder prior to the reopening of the FIT Queue. If you do not receive a notice, your project has not been affected.”

On Wednesday, September 26, 2012, Hawaiian Electric Companies' filed a Motion for Partial Reconsideration and/or Clarification, and Interim Stay, of the Commission's Order No. 30635 raising some questions about the fair and orderly administration of the FIT program.


Sample Pre-Qualification Check Lists, Sample Applications for Tier 1, Tier 2, Tier 3 and other Feed-In Tariff related documents click here.

Under the guidelines issued by the Hawaii Public Utilities Commission, renewable technologies eligible for the FIT include photovoltaic (PV), concentrated solar power (CSP), in-line hydro (Tier 1 and Tier 2 only), and on-shore wind. See below:

Tier Project Size
1 0 - 20 kW on all islands
2

Greater than 20 kW and up to and including:

PV:     500 kW on Oahu, 250 kW on Maui and Hawaii, and

          100 kW on Lanai and Molokai;

CSP:  500 kW on Oahu, Maui and Hawaii, and

          100 kW on Lanai and Molokai;

In-line hydro:  100 kW on all islands;

Onshore wind:   100 kW on all islands

3

Greater than Tier 2 maximums and up to and including the lesser of 5 MW on Oahu and 2.72 MW on Maui and Hawaii or 1% of the system peak load from the previous year,

Except that wind generation is precluded on Maui and Hawaii

 

 

The energy payment rates are determined by the technology type and the size of the project.  See below: 

Renewable Generator Type and Size FIT Energy Payment Rate (¢/kWh)
Tier 1 PV < = 20 kW 21.8
Tier 1 CSP < = 20 kW 26.9
Tier l On-Shore Wind < = 20 kW 16.1
Tier 1 In-line Hydropower < = 20 kW 21.3
Tier 2 PV > 20 kW and < = 500 kW 18.9
Tier 2 CSP > 20 kW and < = 500 kW 25.4
Tier 2 On-Shore Wind > 20 kW and < = 100 kW 13.8
Tier 2 In-line Hydropower > 20 kW and < =100 kW 18.9
Tier 3 PV > 500 kW and < = the lesser of 5 MW or 1% of the system peak load 19.7
Tier 3 CSP > 500 kW and < = the lesser of 5 MW or 1% of the system peak load 31.5
Tier 3 On-Shore Wind > 100 kW and  < = the lesser of 5 MW or 1% of the system peak load 12.0
Baseline FIT Rate 12.0
 

 

The energy payment rates specified in paragraph G(l) for solar energy technologies (PV and CSP) are based on the 35% Hawaii state renewable energy technologies income tax credit as prescribed in the Hawaii state tax code, Hawaii Revised Statutes ("HRS") Section 235-12.5. Under HRS Section 235-12.5(g), the Seller may elect a reduced refundable tax credit. If Seller intends to elect the reduced refundable tax credit, Seller must provide written documentation at the time of application under this Schedule FIT that Seller will elect the reduced refundable tax credit option. If Seller provides a certified copy of Seller's actual tax return filing with the Hawaii State Department of Taxation documenting the election of the reduced refundable tax credit, the FIT energy payment schedule below will be applicable to Seller from the first day of the billing period following the date the certified copy is provided to the Company. Seller will receive an adjustment payment representing the difference between the applicable rate pursuant to paragraph G(l) paid to Seller since the Commercial Operation Date and the applicable rate below which Seller has demonstrated it is eligible to receive, within 60 days of receipt of the certified copy of Seller's actual tax return filing.

Renewable Generator Type and Size FIT Energy Payment Rate (¢/kWh)
Tier 1 PV < = 20 kW 27.4
Tier 1 CSP < = 20 kW 33.1
Tier 2 PV > 20 kW and < = 500 kW 23.8
Tier 2 CSP > 20 kW and < = 500 kW 27.5
Tier 3 PV > 500 kW and < = the lesser of 5 MW or 1% of the system peak load 23.6
Tier 3 CSP > 500 kW and  < = the lesser of 5 MW or 1% of the system peak load 33.5
 

 

The rates paid by the Company for the electric energy purchased under this Schedule FIT may be adjusted periodically as ordered and approved by the Commission. The Seller shall receive the FIT energy payment rate in effect at the time of execution of the Schedule FIT Agreement for the entire term of the Schedule FIT Agreement, provided, however, that the FIT energy payment rate may be modified by the Commission during the term of the Agreement if it is determined by the Commission to be necessary to maintain the viability of Seller's development and operation of Facility due to changes in federal or state tax laws

Who Can Participate?

Residential and business customers can participate as long as the available FIT capacity has not been exceeded. Current Net Energy Metering ("NEM") customers will receive a one-time choice to convert from NEM to FIT.

FIT Capacity

The capacity of the queue for FIT projects will be as follows:

  • Oahu - 60 MW
  • Big Island - 10 MW
  • Maui, Lanai, Molokai (combined) - 10 MW

Circuit Loading

To help determine the available capacity in a general area, a snap shot at circuit loading can be seen on the Locational Value Maps (LVM). The LVM has been developed and provides a visual of the:

  • * Geographic areas of faster distribution growth within the next 3-5 years where distributed resources and energy efficiency could be beneficial within the existing transmission and distribution system
  • * Level of distributed generation penetration on distribution circuits as a percentage of peak circuit load at a point in time and daily minimum load.

Management of the FIT Application and Queuing Process

The management of the FIT application and queuing process is being conducted by Accion Group, Inc., who also serves as the Independent Third Party Observer overseeing the Hawaiian Electric FIT program on behalf of the Commission.

Contact Us

For questions and inquires regarding Hawaiian Electric Company's FIT, please email them to: FIT@HAWAIIANELECTRIC.COM or call (808) 543-4044.

Mailing Address:
Hawaiian Electric Company
Energy Procurement CP21-XB
ATTN: FIT
PO Box 2750
Honolulu, HI 96840

Links

Check your circuit with our locational value maps:
Hawaiian Electric
Hawaii Electric Light
Maui Electric