en.Wedoany.com Reported - Jera Americas has submitted a notice of intent to the Hawaii Public Utilities Commission (PUC) to apply for a Certificate of Public Convenience and Necessity (CPCN), seeking approval to establish a Hawaii-based regulated wholesale generation company (GenCo). The company plans to advance a liquefied natural gas (LNG) power project at Barber's Point on Oahu, specifically including the construction of a modern natural gas power facility worth approximately $1.5 billion with a capacity of 500 megawatts, supported by an offshore LNG import infrastructure estimated to cost around $500 million. The proposed GenCo will own and operate the plant and supply electricity to the Oʻahu grid.
This proposal is based on a strategic cooperation agreement signed between Jera Americas and the State of Hawaii last October, which aims to support the state's transition away from oil through the use of alternative fuels, including natural gas. Earlier this year, Jera Energy submitted relevant proposals to the State of Hawaii. Additionally, the company is seeking approval from the U.S. Federal Energy Regulatory Commission (FERC) to initiate the pre-filing process for its planned LNG import facility based on a Floating Storage and Regasification Unit (FSRU) in Hawaii.
Jera Americas stated that the proposed plant is intended to replace aging oil-fired power generation with newer, more efficient, and fuel-flexible facilities, complementing the continued growth of renewable energy by providing reliable power when needed to maintain grid stability. Oahu, home to nearly 1 million residents, consumes over 70% of the state's electricity generation, and power demand is growing as transportation and industrial processes become increasingly electrified.
If approved, the new GenCo would become a regulated utility entity under the ongoing oversight of the Hawaii PUC. Jera Americas emphasized that the proposal is not intended to replace Hawaiian Electric's role as the retail electricity provider on Oahu; the latter will continue to serve customers, operate the grid, and its power plants, while the GenCo would supply electricity under a regulatory framework established and approved by the PUC. The company stated that the proposal aims to provide an additional option for the state, regulators, and customers to evaluate as Hawaii considers how best to address its long-term reliability, affordability, and infrastructure needs.
Jera Americas also noted that it has advanced pre-development activities related to the proposed project, including engagements with landowners, turbine manufacturers, and local partners. Other participating partners include Hawaiʻi Gas and Pasha Hawaii, which support fuel distribution and maritime infrastructure planning associated with the project. The company added that the proposed project remains subject to further due diligence, environmental review, permitting, regulatory approvals, and stakeholder outreach.
