Gov. David Ige said Wednesday that he is still opposed to NextEra Energy Inc.’s proposed
$4.3 billion purchase of Hawaiian Electric Industries and the state’s use of liquefied natural gas for electrical power generation.
Ige spoke about energy issues in a telephone interview with the Honolulu Star-Advertiser, saying he still doesn’t believe Florida-based NextEra is the right partner for Hawaii.
“I still feel that is not a good fit,” Ige said. “It is about finding a company or a partner that really is committed to a new business model for a utility. One that is focused on 100 percent renewables, rather than having a large traditional utility acquire Hawaiian Electric Co.”
Ige said the state wants an electric utility that will be “nontraditional and innovative.”
Ige also said he is still against using LNG to supply HECO’s power plants.
“I will not support LNG for electrical generation,” the governor said. “I think we should be focused on 100 percent renewable and LNG is clearly not a renewable fuel.”
In August, Ige said he was opposed to the use of LNG because it is a distraction from the state’s 100 percent renewable electric-generation goal and that his administration would actively oppose it.
Last month Hawaii Gas — the state’s only gas utility — said it has a binding $200 million bid from an LNG supplier to build the infrastructure needed to bring large quantities of LNG into the state. Hawaii Gas says LNG is cleaner and less expensive than the low-sulfur fuel oil and coal now burned in Hawaii power plants.
Alicia Moy, president and CEO of Hawaii Gas, said Tuesday she wants to meet with Ige to discuss the advantages of LNG. She said the last time the utility met with him was before he was elected governor.
“We haven’t taken him through the results of our findings,” Moy said.
Ige said he has not yet reviewed Hawaii Gas’ detailed plans but is open to sitting down with the utility.
“I did not look at the bid, so I am not exactly certain about what is in it,” the governor said. “I obviously am willing to listen. … I’ve been open to meet and talk with anyone who wants to talk about (LNG).”
Still, Ige said he wants the state’s focus to remain on the renewable goals and he can’t spare the staff that would be needed to look into approving LNG.
“From our perspective it has to do with what involvement would be required from the state in terms of reviewing, regulating and overseeing any investment that is required for LNG,” he said. “If there is not anything required, no permitting or any of that … that would be great. I don’t want to have the focus of our employees be tied up with approving LNG terminals. Because I do anticipate there will be lots of concern raised in the communities.”
Moy said the utility has not submitted plans with state regulators and is waiting to share the plans in detail with all of the necessary players before moving forward.
HECO is also seeking to bring LNG to the state despite the governor’s opposition. The utility said in January it is in the final stages of reviewing a request for proposals and is evaluating LNG suppliers.
However, HECO said the utility is open to learning more about Hawaii Gas’ plans if they will reduce costs for customers and are consistent with state policy.
Ige’s comments on NextEra came as the state Public Utilities Commission continued to hold hearings at a Blaisdell Center conference room to review the proposed sale of HEI. The trial-like hearings from 9:30 a.m. to
5 p.m. are open to the public and will continue until at least Wednesday.
