The power purchase contract between Hawaiian Electric and AES Corporation, which has operated the coal-fired power plant at Campbell Industrial Park since 1992, will end at midnight on Sept. 1, 2022. The facility is the last in Hawaii to use coal to make electricity.
Using a combination of renewable resources and existing power plants, Hawaiian Electric will continue to have sufficient generation capacity and reserve margin to meet the needs of Oahu's 310,000 customers. By discontinuing the use of coal, Hawaiian Electric is forecasting that residential bills for typical Oahu customers will rise 7% or about $15, which will start showing up for most customers in bills they receive in October. The 180-megawatt AES facility is one of the state's largest emitters of greenhouse gases, releasing 1.5 million metric tons of carbon dioxide equivalent annually.
There were no plans by AES and Hawaiian Electric to extend the use of the coal plant after the expiration of the 30-year contract and under Act 23 of 2020, Hawaii banned any extension of the coal plant contract and any future use of coal for power generation.