AES and KIUC break ground on Hawaii’s largest solar-plus-storage system

February 23, 2018
LinkedIn
Twitter
Reddit
Facebook
Email
The price will be US$0.11/kWh, which is significantly below the cost of diesel generation. Credit: AES

AES Distributed Energy (AES DE), a subsidiary of AES Corporation, and nonprofit transmission firm Kauai Island Utility Cooperative (KIUC) have broken ground on a 28MW solar and 100MWh five-hour duration battery energy storage system in Kauai, Hawaii.

The Lāwa’i Solar and Energy Storage Project, the largest hybrid solar and storage project in Hawaii, will be located on former sugar land between Lāwaʻi and Kōloa, on Kauai’s south shore. It will provide 11% of KIUC’s generation capacity and increase the portion of renewables in its mix to 60%.

The price will be US$0.11/kWh, which is significantly below the cost of diesel generation, said KIUC’s president and chief executive, David Bissell.

“This will not only provide downward pressure on rates, but also helps us avoid the use of 3.7 million gallons of diesel each year,” he added.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Last October, Energy-Storage.News reported that the solar system would be using SunPower’s scalable Oasis Power Plant platform for the PV system.

The battery system will also improve the island’s grid resiliency, providing dispatchable energy from the solar system, with the ability to deliver consistent peak power output for up to five hours outside of daytime hours, alongside power production going straight to the grid during daytime hours.

Woody Rubin, president of AES DE, said: “AES has had a presence in Hawaii for more than 25 years, and this first-of-its-kind project demonstrates our continued commitment to the state’s vision of a cleaner energy future. This innovative project will help reduce Kauai’s reliance on fossil fuels while generating clean, reliable and affordable energy.”

Hawaii has a goal of reaching 100% renewable energy by 2045 and solar and storage combinations have been a major focus already. The Hawai‘i Public Utilities Commission last year approved two new programmes expanding its customers’ abilities to install rooftop PV and energy storage systems. Similarly, in 2016, SolarCity chose Tesla, which later acquired SolarCity, to supply a 52MWh utility-scale energy storage system, which will make the output of a solar farm in Hawaii dispatchable.

Meanwhile, the US Navy is building a 44MW solar power plant with energy storage, also on Kaua’i, while ‘intelligent’ commercial storage provider Stem is aggregating customer systems into a 1MW ‘virtual power plant’ on another island, O’ahu.

Proliferation of such projects can be seen worldwide. For example, this week Australia also saw its first large-scale, grid-connected solar-plus-storage system come online, having been built by Conergy.

24 March 2026
Dallas, Texas
The Energy Storage Summit USA is the only place where you are guaranteed to meet all the most important investors, developers, IPPs, RTOs and ISOs, policymakers, utilities, energy buyers, service providers, consultancies and technology providers in one room, to ensure that your deals get done as efficiently as possible. Book your ticket today to join us in 2026!

Read Next

Premium
December 19, 2025
The board of trustees for New York Power Authority (NYPA) last week gave the greenlight for the public power organisation to develop an additional 1.2GW of storage as part of its renewed Strategic Plan for New Renewable Energy Generation. 
Premium
December 18, 2025
California Community Choice Aggregator (CCA) Clean Power Alliance (CPA) last week (8 December 2025) moved one step closer to executing agreements for offtake with two companies developing innovative thermal battery storage projects. 
December 18, 2025
Two US companies, GridStor, and CPS Energy are making advancements on Texas energy storage deployments, with GridStor executing a tolling agreement and CPS Energy issuing a new request for proposals.
December 18, 2025
Distributed energy resources (DERs) are emerging as potential solutions for consumers seeking independence and relief from rising energy costs.
December 17, 2025
In an upcoming conversation with Energy-Storage.news Premium and Optimisation platform provider Ascend Analytics, CEO Dr. Gary Dorris PhD, discusses the ‘roller coaster’ revenues of the Electric Reliability Council of Texas (ERCOT) market.