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Press release from Business Wire

Hawaiian Electric Receives Approval for Biodiesel Contract with Renewable Energy Group

Wednesday, May 23, 2012

Hawaiian Electric Receives Approval for Biodiesel Contract with Renewable Energy Group16:15 EDT Wednesday, May 23, 2012 HONOLULU (Business Wire) -- Hawaiian Electric Company has received approval from the Hawaii Public Utilities Commission for an additional three-year biodiesel contract with Renewable Energy Group (REG), the nation's largest biodiesel producer. This is REG's third awarded contract for sustainable biodiesel for Hawaiian Electric's 110-megawatt combustion turbine generator at Campbell Industrial Park Generating Station. The new contract will take effect when the present contract ends in July 2012. Under the new contract, REG will continue to annually supply three to seven million gallons of high quality biodiesel processed from used cooking oil and waste animal fats for the Campbell Industrial Park Generating Station. The plant is the nation's first utility-scale combustion turbine run entirely on 100% biodiesel. As with previous contracts, REG must conform to environmental guidelines for sustainable production and use of biofuels that were developed by Hawaiian Electric in partnership with the Natural Resources Defense Council. “Biodiesel utilization in electric power generation is an important step in helping our country make a move to renewable-based electricity. Most U.S. states now have policies or goals for electric power to be sourced from renewable resources or advanced biofuels, like biodiesel,” said Gary Haer, Vice President, Sales and Marketing at Renewable Energy Group. “We applaud Hawaiian Electric Company for serving as the leading example in transforming the way Americans think about electric power.” Hawaii is among 37 states and Washington, D.C., to have Renewable Portfolio Standard (RPS) requirements or goals currently in effect. These policies are designed to replace annually increasing proportions of energy with renewable resources. Hawaii's current RPS requirement is to reach 40 percent renewable energy by 2030. “Renewable biofuel is an important part of our diverse mix of clean energy resources,” said Robbie Alm, Hawaiian Electric executive vice president. “This contract allows us to continue running one of our own generating stations on a green fuel and further establishes Hawaii as a serious biofuel market.” About Renewable Energy GroupRenewable Energy Group® is a leading North American biodiesel producer with a nationwide distribution and logistics system. Utilizing an integrated value chain model, Renewable Energy Group is focused on converting natural fats, oils and greases into advanced biofuels. With more than 210 million gallons of owned/operated annual production capacity at biorefineries across the country, REG is a proven biodiesel partner in the distillate marketplace. For more than a decade, REG has been a reliable supplier of biodiesel which meets or exceeds ASTM quality specifications. We sell REG-9000® biodiesel to distributors so Americans can have cleaner burning fuels that help lessen our dependence on foreign oil. REG-9000® branded biodiesel is distributed in nearly every state in the U.S. To learn more about REG, please visit www.REGI.com. About Hawaiian Electric CompanyHawaiian Electric Company and its subsidiaries, Maui Electric Company and Hawaii Electric Light Company, serve more than 400,000 customers on the islands of Oahu, Hawaii, Maui, Lanai and Molokai, home to 95% of Hawaii's people. Hawaiian Electric is a subsidiary of Hawaiian Electric Industries (NYSE: HE). For more information, visit www.heco.com. Forward-Looking StatementsThis press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements about REG's annual supply amounts to Campbell Industrial Park Generating Station. Actual results may vary materially due to a number of factors including, but not limited to, the risk of a loss or reduction of governmental requirements for the use of biofuel, a decrease in the spread between biodiesel prices and feedstock costs, loss or reduction of tax incentives for biodiesel production or consumption, as well as other risks that are detailed from time to time in REG's SEC reports. REG is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise. Information contained in our website is not incorporated by reference in, or made part of this press release. Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=50288185&lang=en Hawaiian Electric:Darren Pai808-543-7753808-223-9932darren.pai@heco.comorREG:Alicia Clancy515-239-8118515-450-9692alicia.clancy@REGI.com