AES Hawai‘i has launched Kuihelani solar-plus-storage, the state’s largest solar power facility.

The Central Maui project is a key part of Hawaii’s aggressive 2045 Clean Energy Initiative goals as well as AES’ own 2040 goal of net zero carbon emissions from electricity sales.

Bernerd Da Santos, executive vice president and president of Global Renewables for The AES Corp., and AES Hawai‘i President Sandra Larsen met with the Honolulu Star-Advertiser on Thursday in advance of a Friday blessing for the Kuihelani project, which is producing electricity for Maui at 8 cents a kilowatt-hour, the lowest renewable energy cost in the state.

“Our (goal) is as aggressive as Hawaii. We are 2040, so I’m supportive of 2045,” Da Santos said. “I think Hawaii took a lead in order to set an aggressive target in the United States. Climate change is the largest challenge in mankind, and every state and every organization and every industry that set themselves in a goal that is aggressive is the right thing to do. That will drive change. That will drive technology and the focus of the resources that need to be deployed in order to make it happen.”

The closure of AES Hawai‘i’s coal plant in 2022 dovetailed with the end of a 30-year power-purchase contract with Hawaiian Electric. Since then AES and partners are working toward the state’s goal to derive all energy from renewable sources by 2045.

“We wanted to invest in Hawaii, and we wanted to invest in a size that would replace the energy of that coal facility,” Da Santos said. “That coal facility was 41 workers. We said that we were going to find jobs for our people that work in that facility, and we did. Today our people are working for HECO, for AES in the renewable environment and for other companies in the sustainable side.

“We had 180 (megawatts) in that (coal) facility, and we are right now running 366 MW in solar plus more than 1,000 MWh of energy storage. That just by itself is more than three time that (coal) facility’s capacity.”

Kuihelani comes as AES Hawai‘i is accelerating its commitment to Hawaii’s Clean Energy Initiative. With the Kuihelani project, AES is making progress across the state on 11 renewable projects — the most of any other renewable energy developer. AES Hawai‘i already has six operational projects in Hawaii, including Lawa‘i Solar and Energy Storage Project and the AES PMRF Solar-plus storage on Kauai; the Na Pua Makani wind project in Kahuku and the HECO AES West O‘ahu Solar project on Oahu; the HELCO AES Waikoloa Solar on Hawaii island; and the Kuihe­lani on Maui.

AES has under development the West Kauai Energy Project on Kauai; the HECO Waiawa Phase 2 Solar in Pearl City and the HECO AES Mountain View Solar in Waianae on Oahu; the HELCO Ke‘amuku Solar + Storage on Hawaii island and a MECO Kuihelani Solar Phase 2 in Central Maui, which is in a 30-day comment period that runs through Sept. 26.

Da Santos said the Hawaii renewable projects are part of a dramatic shift for AES, a Fortune 500 global energy company that was founded in 1981 and built a significant number of coal facilities through 2016, when it made the decision to stop.

He said about two-thirds of AES’ business was coal in 2016, and the percentage of coal is now shy of 20%. To get to that companywide goal, AES is commissioning more renewable energy projects in wind, solar and energy storage.

To meet decarbonization objectives and pursue innovation, AES also is building its clean hydrogen business. AES is part of two regional clean Hydrogen Hubs receiving up to $2.4 billion in funding from the U.S. Department of Energy to support the development and scaling of clean hydrogen infrastructure in California and along the Gulf Coast.

Da Santos said green hydrogen holds promise for Hawaii, but not until it becomes more scalable and prices come down, maybe in the early 2030s. He said Hawaii also should look at geothermal, and other alternate renewable energy sources may be considered as part of a diversification strategy.

Right now it’s projects like Kuihelani, which opened May 31, that allow utility operator Hawaiian Electric to accept and use more intermittent power generation from renewable sources, including rooftop solar, in its long-term transition away from fossil fuel power plants and toward 100% renewable energy.

Da Santos said Kuihelani showcases the power of widespread collaboration between government and industry partners.

“Everyone wins with this project, Maui County, the state of Hawaii, Hawaiian Electric, and, most of all, the people of Maui who want and expect their power be generated effectively, efficiently and inexpensively for future generations,” he said in a statement.

Larsen said Kuihelani solar-plus-storage already is producing 60 MW of renewable energy supported by a 240 MWh lithium-ion battery energy storage system, which is generating enough electricity for 27,000 homes, providing 15% of Maui’s energy needs. The project also offsets the need to import 2 million barrels of oil to produce electricity.

Larsen said Kuihelani, which is on 450 acres in Central Maui, also has a dual agricultural use that supports Maui’s food production needs. She said AES Hawai‘i is partnering with Ho‘oulu ‘Aina Farms in Waikapu to have sheep graze on the land.

“We’re pleased with the positive impact that Kuihe­lani and its dual-use capabilities are contributing to Maui’s quality of life,” Larsen said in a statement. “Our collective team’s intent at AES Hawai‘i is always on the future and how our production of clean, renewable energy can make the enjoyment and affordability of life in Hawai‘i a better and more promising outlook for families and children.”

Friday’s blessing ceremony recognized the project’s impact on Maui’s power grid and the island’s economy.

Maui Mayor Richard Bissen presented Da Santos and AES Hawai‘i with a proclamation declaring Friday as Energy Resiliency Day for the County of Maui. Kuihe­lani is supporting 300 jobs and generating $68 million for Maui’s economy.

Larsen said in a statement that AES Hawai‘i is grateful for the widespread support for its first utility-scale solar project on Maui, which included a power-purchase agreement with Hawaiian Electric.

She said, “The outstanding support we have received from trusted community partners, like Maui County, Hawaiian Electric, and our Maui-based contractors, have made it possible to launch Kuihelani and enabled us to generate low-cost renewable energy for Maui for the next 25 years.”

Hawaiian Electric President and CEO Shelee Kimura said in a statement that Kuihelani solar-plus-storage represents a success story in the utility’s decade-long work to broaden the renewable energy portfolios on each island.

“By creating the market for partners like AES Hawai‘i and designing long-term contracts that benefit customers, we will continue to see projects that meet a critical need for renewable generation and make progress toward our state’s goals for renewable energy and reduced carbon emissions,” Kimura said.