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Clifton M. Hasegawa
President and CEO
Clifton M. Hasegawa & Associates, LLC
1044 Kilani Avenue 12
Wahiawa, Hawaii 96786-2243
Telephone: (808) 498-8408
Email: clifhasegawa@gmail.com
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May 5, 2015
Senate President Donna Mercado Kim, Hawaii State Senate
Members of the Hawaii Senate
House Speaker Joseph Souki, Hawaii State House of Representatives
Members of the Hawaii House of Representative
Mayor Kirk Caldwell, City & County of Honolulu
Members of the Honolulu City Counsel
Randall Y. Iwase, Chair, Hawaii Public Utilities Commission
Michael E. Champley, Commissioner
Lorraine H. Akiba, Commissioner
RE: The Honolulu Authority for Rapid Transit (HART); Hawaiian Electric Industries
(HEI), Hawaiian Electric Company (HECO), NextEra Energy – Firm Power for the Rail
Dear Senate President Kim, Members of the Hawaii State Senate, House Speaker Souki,
Members of the Hawaii State House of Representatives, Mayor Caldwell, Members of
the Honolulu City Council, Chairman Iwase, Commissioner Champley and
Commissioner Akiba,
The fate of the Honolulu Rapid Transit, the Rail, is now before you. Providing
and provisioning for firm power for the Rail is pivotal. Incumbent in your decision to
proceed:
1. Hawaiian Electric Company (HECO) and NextEra Energy, should the
Hawaii Public Utilities Commission approve the merger between
Hawaiian Electric Industries (HEI) and NextEra Energy, include as a
priority and implement immediately the minimum requirements to:
a. Install, connect and complete a new 138kv underground power line
through urban Honolulu,
b. Reconfigure, connect and complete the existing 46kv circuit from
Pukele Substation at the northern end of the transmission corridor
with existing and new 46kv circuits at Archer and Kamoku
substations in the southern 138kv corridor, and
c. Install and complete underground 46kv lines in Ala Moana,
McCully, Moiliili, Kapahulu, Makiki and Kakaako areas.
2. Hawaiian Electric Company (HECO) and NextEra Energy and The
Honolulu Authority for Rapid Transit (HART) negotiate and execute a
Power Purchase Agreement (PPA) for 30MW – 50MW Firm Power with
HECO and/or the City & County of Honolulu (H-POWER). That the PPA
provide for interconnection with the Oahu Grid.
3. Hawaiian Electric Company (HECO) and NextEra Energy and The
Honolulu Authority for Rapid Transit (HART) negotiate and sign a firm-
fixed price contract to relocate utility lines, poles and required installations
along the Rail path.
4. Hawaiian Electric Company (HECO) and NextEra Energy and The
Honolulu Authority for Rapid Transit (HART) negotiate and sign a firm-
fixed price contract to design, construct and bring on line the substation
near West Loch.
The following discussion on Total Power Needed for the Rail and the Timetable
provided by Ansaldo JV Honolulu conveys to you the immediacy and need for your
intervention.
The fact that Hitachi Corporation is a driving force behind Finmeccanica, parent
of AnsaldoBreda and Ansaldo STS should give credence that the timeline for delivery
and installation of the Rail Operations Center in December 2015, the delivery of the first
train to Honolulu in 2016, and projected operation of passenger service in 2019 will be
met or exceeded. www.ansaldohonolulurail.com
Total Power needed for The Rail: 30MW to 50MW Firm Power
Firm Power is electric power from a generating station available for use
under all conditions. Baseload plants (coal and nuclear), Intermediate load
plants (combined cycle natural gas), Peak load plants (natural gas or oil-
burning), Hydroelectric and Geothermal plants generate firm power.
Firm power is counted towards the energy security of the Grid;
Intermittent Power does not count towards the energy security for the
Grid.
Wind and Solar (Photovoltaic) - Do not provide firm power. Wind and
Solar (Photovoltaic) are classified as Intermittent Power.
Electricity from wind and solar generators are subject to weather
conditions. Wind generates more power at night, when demand is lowest.
During daylight hours, power generated by the utility takes precedence
and power from wind energy producers is generally curtailed. Solar
panels work only when sunlight is available and do not satisfy peak
afternoon/evening demand.
The Hawaiian Electric Companies will have deactivated a total of 226 MW of
Firm Power Generation by the end of 2016. This includes:
 Two generating units at the Waiau Power Plant (Oahu) will be deactivated by
2016.
 Hawaii Island’s Shipman plant has already been deactivated
 On Maui, two of four units at Kahului Power Plant will be deactivated in
2014, and all four units will be retired by 2019.
Source: Hawaiian Electric Company (HECO)
http://www.hawaiianelectric.com/heco/_hidden_Hidden/CorpComm/Clean-
energy-milestone-reached-as-Hawaiian-Electric-deactivates-Honolulu-
Power-Plant?cpsextcurrchannel=1
HECO Owned Plants (oil) Megawatts- Firm Power
 Honolulu 113
 Waiau 499
 Kahe 651
 CIP 120
Independent power producers Megawatts – Firm Power
 H-POWER (C&C Honolulu Biomass) 46
 Kalaeloa Partners, L.P. (oil) 208
 AES-Hawaii (coal) 180
Your options:
1. Keep on the course you have set, increase the tax, place a terminus date,
and allow the Honolulu Transit Authority to continue business as usual.
2. Intervene, mandate reform, implement the recommendations set forth in
the foregoing paragraphs, institute oversight to require accountability and
executive responsibility for accuracy, integrity and transparency, and
implement best management practices and procedures.
3. Terminate the Rail Project. Downside: Loss of jobs, loss of potential
revenue, liability for breach of contract and waste of funds committed,
$2,143,000,000 - $2.143 Billion, as of April 1, 2015.
http://www.honolulutransit.org/media/335577/201505-rail-update-hart-facts.pdf
Thank you very much
Aloha
Respectfully,
Clifton M. Hasegawa

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Honolulu Authority for Rapid Transit - The Hawaii State Legislature - City and County of Honolulu - The Hawaii Public Utilities Commission --- A Formula for Moving Onward and Forward

  • 1. Clifton M. Hasegawa President and CEO Clifton M. Hasegawa & Associates, LLC 1044 Kilani Avenue 12 Wahiawa, Hawaii 96786-2243 Telephone: (808) 498-8408 Email: clifhasegawa@gmail.com LinkedIn: http://www.linkedin.com/in/cliftonhasegawa Facebook: http://www.facebook.com/clif.hasegawa Slide Share: http://www.slideshare.net/cliftonmhasegawa Wild Apricot: https://cliftonmhasegawaampassociatesllc.wildapricot.org XING: https://www.xing.com/profile/clifton_hasegawa May 5, 2015 Senate President Donna Mercado Kim, Hawaii State Senate Members of the Hawaii Senate House Speaker Joseph Souki, Hawaii State House of Representatives Members of the Hawaii House of Representative Mayor Kirk Caldwell, City & County of Honolulu Members of the Honolulu City Counsel Randall Y. Iwase, Chair, Hawaii Public Utilities Commission Michael E. Champley, Commissioner Lorraine H. Akiba, Commissioner RE: The Honolulu Authority for Rapid Transit (HART); Hawaiian Electric Industries (HEI), Hawaiian Electric Company (HECO), NextEra Energy – Firm Power for the Rail Dear Senate President Kim, Members of the Hawaii State Senate, House Speaker Souki, Members of the Hawaii State House of Representatives, Mayor Caldwell, Members of the Honolulu City Council, Chairman Iwase, Commissioner Champley and Commissioner Akiba, The fate of the Honolulu Rapid Transit, the Rail, is now before you. Providing and provisioning for firm power for the Rail is pivotal. Incumbent in your decision to proceed: 1. Hawaiian Electric Company (HECO) and NextEra Energy, should the Hawaii Public Utilities Commission approve the merger between Hawaiian Electric Industries (HEI) and NextEra Energy, include as a priority and implement immediately the minimum requirements to:
  • 2. a. Install, connect and complete a new 138kv underground power line through urban Honolulu, b. Reconfigure, connect and complete the existing 46kv circuit from Pukele Substation at the northern end of the transmission corridor with existing and new 46kv circuits at Archer and Kamoku substations in the southern 138kv corridor, and c. Install and complete underground 46kv lines in Ala Moana, McCully, Moiliili, Kapahulu, Makiki and Kakaako areas. 2. Hawaiian Electric Company (HECO) and NextEra Energy and The Honolulu Authority for Rapid Transit (HART) negotiate and execute a Power Purchase Agreement (PPA) for 30MW – 50MW Firm Power with HECO and/or the City & County of Honolulu (H-POWER). That the PPA provide for interconnection with the Oahu Grid. 3. Hawaiian Electric Company (HECO) and NextEra Energy and The Honolulu Authority for Rapid Transit (HART) negotiate and sign a firm- fixed price contract to relocate utility lines, poles and required installations along the Rail path. 4. Hawaiian Electric Company (HECO) and NextEra Energy and The Honolulu Authority for Rapid Transit (HART) negotiate and sign a firm- fixed price contract to design, construct and bring on line the substation near West Loch. The following discussion on Total Power Needed for the Rail and the Timetable provided by Ansaldo JV Honolulu conveys to you the immediacy and need for your intervention. The fact that Hitachi Corporation is a driving force behind Finmeccanica, parent of AnsaldoBreda and Ansaldo STS should give credence that the timeline for delivery and installation of the Rail Operations Center in December 2015, the delivery of the first train to Honolulu in 2016, and projected operation of passenger service in 2019 will be met or exceeded. www.ansaldohonolulurail.com Total Power needed for The Rail: 30MW to 50MW Firm Power Firm Power is electric power from a generating station available for use under all conditions. Baseload plants (coal and nuclear), Intermediate load plants (combined cycle natural gas), Peak load plants (natural gas or oil- burning), Hydroelectric and Geothermal plants generate firm power. Firm power is counted towards the energy security of the Grid; Intermittent Power does not count towards the energy security for the Grid.
  • 3. Wind and Solar (Photovoltaic) - Do not provide firm power. Wind and Solar (Photovoltaic) are classified as Intermittent Power. Electricity from wind and solar generators are subject to weather conditions. Wind generates more power at night, when demand is lowest. During daylight hours, power generated by the utility takes precedence and power from wind energy producers is generally curtailed. Solar panels work only when sunlight is available and do not satisfy peak afternoon/evening demand. The Hawaiian Electric Companies will have deactivated a total of 226 MW of Firm Power Generation by the end of 2016. This includes:  Two generating units at the Waiau Power Plant (Oahu) will be deactivated by 2016.  Hawaii Island’s Shipman plant has already been deactivated  On Maui, two of four units at Kahului Power Plant will be deactivated in 2014, and all four units will be retired by 2019. Source: Hawaiian Electric Company (HECO) http://www.hawaiianelectric.com/heco/_hidden_Hidden/CorpComm/Clean- energy-milestone-reached-as-Hawaiian-Electric-deactivates-Honolulu- Power-Plant?cpsextcurrchannel=1 HECO Owned Plants (oil) Megawatts- Firm Power  Honolulu 113  Waiau 499  Kahe 651  CIP 120 Independent power producers Megawatts – Firm Power  H-POWER (C&C Honolulu Biomass) 46  Kalaeloa Partners, L.P. (oil) 208  AES-Hawaii (coal) 180
  • 4. Your options: 1. Keep on the course you have set, increase the tax, place a terminus date, and allow the Honolulu Transit Authority to continue business as usual. 2. Intervene, mandate reform, implement the recommendations set forth in the foregoing paragraphs, institute oversight to require accountability and executive responsibility for accuracy, integrity and transparency, and implement best management practices and procedures. 3. Terminate the Rail Project. Downside: Loss of jobs, loss of potential revenue, liability for breach of contract and waste of funds committed, $2,143,000,000 - $2.143 Billion, as of April 1, 2015. http://www.honolulutransit.org/media/335577/201505-rail-update-hart-facts.pdf Thank you very much Aloha Respectfully, Clifton M. Hasegawa