Big Island utility
gets EPA air permit

HELCO's expansion of a power
plant still faces legal obstacles

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By Rod Thompson
rthompson@starbulletin.com

KEAHOLE, Hawaii >> The U.S. Environmental Protection Agency has granted a vital air quality permit to the Hawaii Electric Light Co. for the 56-megawatt expansion of its power plant at Keahole, North Kona.

But the project, pending since 1992 and delayed by court challenges, faces more legal hurdles.

"HELCO makes much ado about its air permit when HELCO must address many more critical issues," said Peggy Ratliff, part of a group that has fought the project for years.

HELCO wants to install two jet engine-like turbines and a heat recovery unit at its 15-acre site mauka of Keahole Airport.

It has spent a little more than $80 million on the project, including purchasing the two turbines years ago. They remain in storage, said HELCO Accounting Manager Paul Fujioka.

"This power is greatly needed in Hawaii," said HELCO President Warren Lee.

On Sunday the company had to apply rolling blackouts to 27,800 customers when power failed from Hamakua Energy Partners, one of HELCO's independent suppliers, Lee said.

The outage took place as several HELCO generators were being overhauled, leaving the company without enough backup, Fujioka said.

One reason for opposition to the project was alleged air pollution. The company received an air quality permit in 1997, but court proceedings forced it to gather more data for the current permit.

Noise is another problem, Ratliff said. Existing generators at the site already violate a court-determined standard, she said.

"Sometimes it just whistles. It just whines," Ratliff said. "Why don't they just fix it?"

Another issue is whether HELCO has a right to use ground water in the operation of the plant.

The land use permit for the project was appealed to the state Supreme Court nearly three years ago, and the high court has taken no action.

Since then, irregularities came to light, such as a state hearing officer taking testimony favoring HELCO after a hearing was closed and without allowing opponents to respond, Circuit Judge Ronald Ibarra determined.

Ibarra has asked the Supreme Court to return the case to him so he can act.

HELCO "may not have any right to expand its station at all," Ratliff said.