90MW Waste to Energy Plant Secures Power Purchase Agreement in Hawaii

The Hawaii Public Utilities Commission (PUC) has approved an amended and restated power purchase agreement between Hawaiian Electric Company (HECO) and the City & County of Honolulu for the utility to buy electricity generated by Covanta Energy's (NYSE: CVA) recently expanded HPOWER waste to energy plant. According to HECO, the original power purchase agreement was reached in 1986 and the 46 MW HPOWER waste to energy plant has been generating electricity since 1990 with a two boiler, waste to energy plant. However, in 2009 construction work began on adding a third boiler, combustion train and associated air pollution control equipment, turbine generator, cooling equipment and electrical interconnection equipment which HECO said increased capacity to 73 MW. According to Covanta the facility has a maximum gross capacity of 90 MW. HECO said that the expansion allows the City's Department of Environmental Services to divert at least 800,000 tons (726,000 tonnes) of municipal solid waste annually from Oahu's landfill and will also help Hawaiian Electric meet the state's renewable energy goals. The new contract modifies and extends terms of the original contract and includes the expanded capacity for the next 20 years. Under the contract HECO will pay HPOWER six to 16 cents per kilowatt hour (kWh), depending on time of day and amount of power provided, plus 5 cents per kWh capacity payment for electricity during peak hours from 7 am to 9 pm. Theprice is linked to an external price index. According to the utility, HPOWER is paid the non escalating capacity fee because it provides firm power when it is needed. HECO added that it takes no mark up or profit on electricity purchased from suppliers like HPOWER. "We are pleased the PUC has affirmed that this new contract is fair, reasonable and in the best interest of our customers," commented Scott Seu, Hawaiian Electric vice president for energy resources. "With limited ways to dispose of waste on the island and our need to get off imported oil for generation, waste to energy is an ideal solution. We have worked well with the City & County and Covanta," he added. Read More Covanta's Honolulu Waste to Energy Plant Expanded to 90 MW New Jersey based waste to energy specialist, Covanta Energy has completed work to expand the H-POWER energy from waste facility, owned by the City and County of Honolulu, to 90 MW. Plasma Gasification Turning Waste to Fuel in China Chinese company, Wuhan Kaidi has completed the commissioning of an Alter NRG plasma gasification waste to biofuel system at its demonstration facility in Wuhan, China. Ethiopia's 50MW Waste to Energy Plant Could be First of Many The 50 MW waste to energy plant to be built in Ethiopia by UK based Cambridge Industries is to be located in Repe and could be the first of 35, according to a report by Capital Ethiopia.