The Public Utilities Commission said Friday it has denied Hawaiian Electric Company’s request for a waiver from the competitive bidding framework for a 15-megawatt photovoltaic project near the Kahe power plant on the Leeward coast.

HECO failed to demonstrate that the bidding process it chose would result in a "more cost-effective or better performing" solar farm, said the Commission. Because the waiver was denied, the application for building the solar farm will no longer be considered, the PUC said.

The utility waiver was denied because HECO failed to prove that the Kahe PV project would result in a lower cost of electricity, said Deborah Kwan, PUC spokeswoman.

"The price structures they used weren’t very clear," said Kwan. "We are rejecting this because it was not the most cost effective option for consumer."

HECO had applied to build the solar farm next to the company’s 650 megawatt Kahe Generating Station.