Biodiesel fuel deal reached by Hawaiian Electric

Hawaiian Electric Co. (NYSE: HEI) and Pacific Biodiesel Inc. reached an agreement for Pacific Biodiesel to supply at least 250,000 gallons of biodiesel to the new 8 MW Honolulu International Airport Emergency Power Facility to be operated by Hawaiian Electric.

The three-year contract with renewal options calls for Pacific Biodiesel to supply biodiesel from locally recycled cooking oil collected and processed at either the Pacific Biodiesel plant on Oahu or the Big Island Biodiesel refinery in Kea’au, Hawaii which is currently under construction. The contract is a result of a request for proposals issued by Hawaiian Electric in March 2010. It must  be reviewed for approval by the Hawaii Public Utilities Commission with input from the Consumer Advocate. The biodiesel supply will begin when the airport facility is ready for operations, targeted for October 2012.

The planned Honolulu International Airport Emergency Facility includes four biodiesel-fueled
generators able to provide 8 MW to the grid. The units will be able to  be isolated to supply power exclusively to the airport during an emergency.

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