Category Archives: Geothermal

Big Island, Biofuel, Geothermal, Peak Oil

‘Ignorance Does Not Inspire Confidence’

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Biofuels in Ka‘u

…To be blunt, there are big gaping holes in their business model as far as their agricultural/harvesting expertise. They really don’t know what they are doing, especially in respect to the actual physical costs of growing and re-growing biomass. It’s not something I hold against them very much. Ignorance of biological reality is rampant. On the other hand, ignorance does not inspire confidence. Is it okay for them to blunder into our neighborhood armed with a HECO contract, federal funding, and an amorphous plan? I really don’t know.…. Read the rest 

On the mainland, biofuel guys are paying $100 per ton for feedstock (which includes $45/ton of subsidies). But farmers in Hawai‘i are making $75 for a bale of hay now, each of which weighs 500 lbs. So right now, farmers are making $300/ton. The biofuel guys want to pay $100/ton.

Farmers would rather make $300/ton than $100/ton. Duh! Somebody will have to pay the farmers more.

On the other hand, geothermal is very straightforward. It is inexpensive, 7 to 10 cents per kWh, and it is steady. It does not emit greenhouse gases, it is proven technology and requires no subsidies.

We hope that for electricity generation, biofuels do not crowd out geothermal.

For each unit of energy in, biofuels yield 1.2 or less units of net energy out. This puts us in mind of Easter Island.

In comparison, for each unit of energy in, geothermal yields 10 units of energy out, and that will continue for as long as one can imagine.

With that sort of cheap, stable electricity, capital would rush here from all over the world. And everyone would have jobs!

It is estimated that the Big Island will be over the “hot spot” that gives us our geothermal for 500,000 to 1 million years.

Geothermal

Why Are We Buying HEI?

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Why are we buying HEI?

It’s not complicated. HECO cannot provide inexpensive electricity without closing its oil-fired, electricity-generating plants. And it cannot close its oil-fired plants without hurting its stockholders.

So the answer is to buy the stock, and then replace the oil-fired plants as we bring inexpensive geothermal on line. We want to transform HECO from an economic anchor into an economic engine.

See this video, which explains why I got involved in this project.

It’s not something I wanted to do, but I asked myself: If not me, then who?

Folks who feel like me are starting to join up. I think people will be surprised to find out who and how many folks support us. More on that in coming days.

Geothermal, Peak Oil

Why Wouldn’t We Use Geothermal?

The Geothermal Working Group’s interim report to the Hawai‘i State Legislature was the headline article in the Hawaii Tribune-Herald a couple days ago.

Big role for geothermal energy

by Peter Sur
Tribune-Herald Staff Writer
Published: Tuesday, January 18, 2011 9:29 AM HST

Huge rise in oil costs may spell trouble for isle unless switch made

Geothermal energy has “significant potential” to be the Big Island’s primary energy resource and replace shrinking oil supplies, a new report says…. Read the full story here

The report warns that world oil supplies are declining, and that we are dangerously vulnerable living where we do in the middle of the ocean; and also that we do have a solution very few people in the world have: Geothermal.

Jeff Rubin is former chief economist for CIBC World Bank-Canada. An optimist, he writes:

How Sustainable Is Growth with Triple-Digit Oil Prices?

Posted by Jeff Rubin on January 19th, 2011

With oil prices within spitting distance of triple-digit levels (Brent traded over $99 per barrel last week, while West Texas Intermediate was north of $90 per barrel), it may be time to reconsider just how long this recovery will run….Read more

Tell me, why NOT geothermal? Why wouldn’t we use geothermal? What am I missing?

Get thousand reasons why no can. I’m only looking for one reason why CAN!

Geothermal

The ‘Geothermal Working Group’ Interim Report

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This week, the Geothermal Working Group Interim Report is being distributed to Hawai‘i state legislators. The report provides lawmakers with an evaluation of using the hot water reservoir in certain locations of Big Island to provide local and renewable energy for electricity and transportation.

In 2010, Senate Concurrent Resolution 99 was approved by a vote of 23-2 in the Hawai‘i State Senate and was unanimously approved in the state House of Representatives. SCR 99 created an 11-member Geothermal Working Group to evaluate geothermal energy for electricity in the County of Hawai‘i. The resolution instructed the Working Group to consider any potential impacts that expanding geothermal production might have on native forests, wildlife habitat, and Native-Hawaiian values and practices. The group is also tasked with recommending steps that can be taken to mitigate any adverse consequences from geothermal.

There is an urgency to developing new energy resources because Hawai‘i, like most of the world, is overwhelmingly dependent upon depleting supplies of fossil fuels. The consensus among credible resource scientists and many economists is that petroleum prices will rise to unprecedented levels in a few years. Since Big Island uses oil for 90 percent of its power, this is of the utmost concern to leaders in government and business. Hawai‘i is the most petroleum-dependent state in the nation; the Big Island alone exports $1 billion annually to purchase oil for power. Geothermal is viewed as an important component in a suite of local and available energy resources.

Geothermal is one of Hawai‘i’s main energy building blocks. Unlike solar and wind power, it is what’s called a “firm” resource—-always there. Molten rock (magma) remains below Earth’s crust, heating nearby rock, rainwater, and seawater that has seeped deep into the earth. Once those geothermal waters are brought to the surface, fresh-water steam is created and sent to the power plant driving turbines that in turn drive a generator to produce electricity. Afterward, the brine and gases are re-injected back into the ground below the water table.

Binary-cycle plants are the most advanced. Their closed-loop circulation system means that no excess gases or fluids reach the open air. Hawai‘i’s geothermal power plant utilizes the closed-loop binary system.

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  Commentary regarding the Geothermal Working Group Interim Report

Lloyds of London, in its white paper “Sustainable Energy Security: Strategic Risks and Opportunities for Business,” warns its business clients to be prepared for $200 per barrel oil by 2013. “Modern society has been built on the back of access to relatively cheap, combustible, carbon-based energy sources. That model is outdated.”

There is little sign that energy demand will go down, with forecasts suggesting a 40% increase by 2030. (Lloyds of London)

With average rates of decline from current fields, just to maintain current production levels would require the equivalent of a new Saudi Arabia coming on-stream every three years. (Lloyds of London)

While the vast majority of investment in the energy transition will come from the private sector, governments have an important role in delivering policies and measures that create the necessary investment conditions and incentives. (Lloyds of London)

  Public Relations

The development of geothermal energy in the Kilauea East Rift Zone has stirred a significant amount of controversy. The experimental HGP-A power plant (1976-1989) was not perceived as a “good neighbor” due to emission releases, the extent of brine ponds beyond the plant boundaries, and an unkempt appearance of the plant itself because of limited maintenance. Further exploration was opposed, often vehemently, by people expressing concern over various issues, including impacts on Hawaiian cultural and religious values, potential geologic hazards, public health, and loss of native rainforest, as well as changing the rural nature of Puna. During the establishment of the Puna Geothermal Venture plant, an episode of planned open venting and a number of uncontrolled steam releases stimulated the evacuation of some nearby residents and enhanced fears that the resource could not be safely tapped.

The PGV plant has been operating since 1993; most residents have accepted it as part of the grid power supply. However, there is continued concern about health and environmental issues among some residents near the plant. The relationship between PGV and its neighbors appears to have improved with better communication between the company and the adjacent residents.

Advantages

From an environmental standpoint, it’s difficult to find a more attractive option than geothermal power. Because the system is essentially a closed-loop; there are virtually no emissions, making it arguably the cleanest choice for energy production. Although other power sources, such as solar panels, also have no emissions, the treatments used in production of solar panels are much more environmentally degrading than building a geothermal plant to supply a comparable amount of energy.

The Geothermal Working Group advocates discussions on related topics and concerns – primarily, the best integration into the existing electrical-power grid of a variety of renewable energy resources. Hawaii is the most petroleum-dependent state in the nation; Big Island alone exports $1 billion annually to purchase oil for power. The future promises an even greater demand for power. Hawaii can meet tomorrow’s power needs by utilizing locally available resources. The report also analyzes the community, environmental and economic impacts of energy development in Hawaii.

Recommended Actions for the Hawaiian Legislature

  • Fund research and field work to catalog geothermal energy resources available on Big Island.
  • Fund research and field work to analyze the impact of transitioning from petroleum-fired power plants to geothermal.
  • Authorize a legislative agenda item to reconsider how the royalties from geothermal production are distributed to the state, county, and the neighborhoods that border geothermal plants.
  • Designate geothermal funds for programs that benefit local communities and that further develop the resource, rather than placing the royalties in the land fund.
  • Make a highly-efficient, non-fossil energy future a top priority.

The Geothermal Working Group Interim Report is intended for Hawaii state legislators and provides an analysis of developing new geothermal energy resources for the purpose of reducing Hawaii’s dependence on foreign petroleum. Senate Concurrent Resolution 99, sponsored by Senator Russell Kokubun, mandates an 11-member Geothermal Working Group. The resolution instructs the Working Group to consider any potential impacts that expanding geothermal production might have on native forests, wildlife habitat, and Native-Hawaiian values and practices.

Overview

Senate Concurrent Resolution 99 created the Geothermal Working Group to evaluate geothermal energy as the primary base power for electricity in the County of Hawaii. An analysis of the existing data and a synthesis of expert testimony evince overwhelming support for a plan of action that includes transitioning from fossil-fuel energy plants to local and renewable energy plants, while identifying and responding to public safety and environmental concerns at each stage of development. Funding for important research is required to ensure that the transition never harms people, property, or wildlife and that a robust and reliable supply of energy is always available. It is critically important to the welfare of Hawaiians that the transition begin immediately.

The Working Group’s principal findings are as follows: 

  • Multiple geothermal plants are the most prudent approach.
  • Historically, geothermal is a lower-cost energy resource.
  • Geothermal has the potential to supply baseload electricity, although it has not yet demonstrated baseload consistency in its application in Hawaii.
  • Geothermal is a renewable resource indigenous to Big Island and can neutralize the price volatility of petroleum fuel for the county, both in terms of the electrical grid and in terms of transportation.
  • Additionally, products that assist island agriculture can be cost-effectively produced with geothermal and replace the importation of products made on the mainland from fossil fuels.
  • Thus, Geothermal has a significant potential to be Big Island’s primary energy resource.

Royalties paid to Hawaii from geothermal

The amount of geothermal royalties paid to the State of Hawaii fluctuates each fiscal year, since power output and sales to HELCO vary. Over the last seven years, however, there is a trend of increasing revenues. Geothermal Royalties from 2001 to 2009 ………. $12,456,486.99

The Necessity for Action

The Geothermal Working Group advises a course of action that leads to energy independence and away from fossil-fuel dependence. The group advocates debate that addresses clean, renewable, and local energy production. They advise transitioning away from the use of imported and polluting fossil fuels. They request that the best and brightest face the challenges of controlling our destiny through innovation rather than depending so heavily upon the importation of foreign petroleum, whose price spikes undermine our economy and, ultimately, our way of life. There are no fossil fuel reserves in Hawaii; there are only 3% in North America. 65% of the world’s crude oil reserves are in the Middle East.

After decades of wars and the spread of religious fanaticism in the Middle East, we still depend upon this very unstable and dangerous region to supply the bulk of our energy needs. Demand for oil continues to skyrocket even as the supply of oil dwindles. A crisis looms and, unless we act now to avert the inevitable, oil prices will swing wildly in response to political, economic, and military events in foreign countries – events over which we have no control – and that will have catastrophic consequences in our own part of the world.

In the coming months, HELCO will perform high-level transmission studies to evaluate the expansion of geothermal generation. These studies will provide a general appraisal of the transmission requirements for additional geothermal generation, but will not be equivalent to the detailed interconnection studies required for specific projects.

Resistance Groups

There is still resistance to using geothermal energy by some members of the local community, even though many of the issues that triggered adverse reactions have been (and continue to be) addressed by government and PGV. However, there are well organized groups (such as the Pele Defense Fund, Rain Forest Action Network and other community organizations) that continue to express concern about the abilities of the government and developers to provide socially and environmentally sound geothermal power. Further, the level of support given by the state’s political establishment to expansion of geothermal capacity (there is presently only funding for one geothermal staff person at the state level) remains vanishingly small.

Biofuel, Geothermal, Peak Oil

HEI’s Flurry of Announcements

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I hear there’s somebody out there investigating me; making phone calls and asking questions about me and such.

To that person: Please feel free to call me directly. There’s nothing to hide and I’d be happy to answer any of your questions. Anybody with questions, in fact, I invite you to call me. My cell number is 808 960-1057.

Maybe what we should be investigating is what’s going on over at Hawaiian Electric Industries (HEI).

Since it was announced that Ku‘oko‘a is attempting to buy HEI in order to retire its old, oil-fired plants, the electric utility has issued a flurry of announcements:

1. The Star Advertiser reported an HEI deal with a large, wind farm operation. But it will not result in any oil-fired plants being shut down.

2. It was announced that there will be a large biofuel operation in Ka‘u on the Big Island. Its purpose will be to provide liquid fuel for HECO’s oil-fired plants.

But the EPA just announced that it was revising its 2011 estimate of cellulosic biofuels from 250 million gallons down to only to 6.5 million gallons. All the millions and millions of dollars that have been spent? They have not resulted in a single industrial-scaled production plant.

Maybe those folks in Ka‘u will be the first in the entire U.S. to be successful. We are rooting for them. But they are not farmers; they say they may grow sorghum or guinea grass. Farmers just shake their heads at that.

The real question is, How much will it cost Big Island citizens to subsidize this crop? And for how long would we be subsidizing it?

3. Maybe HEI will soon announce that the 8 MW geothermal contract is done. I thought it would have been done a year ago.

HEI should be putting more geothermal on line faster, rather than slower. They should be aggressively bringing more geothermal on line. They’re wasting valuable time. How come we’ve got this geothermal resource but are not using more of it? We know that if we use more of that cheap geothermal resource, it will really benefit us here in Hawai‘i.

HEI says they are for geothermal, but we know they truly are not, because they cannot shut down their oil-fired plant. They’re trying to make us believe they can and will, but they cannot, because they have to keep their stock value high for shareholders.

It’s why we’re looking for a new model.

Geothermal is the least expensive of all the base power alternatives for electricity, and its costs will be stable for as far to the future as we can see – unlike oil and biofuels, the costs of which will continue to go up.

Geothermal, Peak Oil, Television, Video

Richard Explains On Video Re: Kuokoa Takeover Of HEI

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This video talks about why we, as Kuokoa, are buying HEI: It is to retool HEI, so the utility can help us all cope in the future. I filmed it for Eco TV a few days ago. It’s in four parts, each 4 or 5 minutes long.

Part 1:

Part 2:

Part 3:

Part 4:

This video will be going out on the social media circuit and on mainstream TV.

Although some folks are attacking “the messenger,” the average person we talk to says, “It’s about time something is done.”

We are serious! Our data shows that this will work, and the higher oil prices climb, the better it will work.

This is about taking care of everyone. The result will be to lower electricity costs across the state, keep some money in our pockets as prices skyrocket everywhere else, and to strengthen the aloha spirit. For that is what we will need to help us cope with an uncertain future.

Big Island, Current Affairs, Geothermal, Renewable Energy Sources

Hydrogen-Powered Big Island Buses

The University of Hawai‘i’s Hawai‘i Natural Energy Institute (HNEI) is working on a very interesting project. They are going to use geothermal electricity to generate hydrogen to power two County of Hawai‘i buses.

Because the hydrogen will be stored in cylinders, the process can be turned off and on as necessary to help the electric utility stabilize the grid.

The biggest obstacle to using hydrogen as a transportation fuel is cost. Most of the time, hydrogen is extracted from fossil fuels, whose price will keep on rising.  But hydrogen can also be obtained by electrolysis – running an electric current through water – at the geothermal plant, where costs are low and stable.

The beginnings of this project date back several years to when we did the E Malama ‘Aina sustainability festival. That’s when and where I met Guy Toyama, who had a demonstration hydrolysis project that used electricity generated from a stream in Hakalau.

Guy has a company that does hydrogen projects. He speaks Japanese and he goes all over the world looking for processes that will make Hawai‘i attractive as a place to do hydrogen demonstration projects. He wants to attract major car companies to do their field testing on the Big Island. If you start seeing hydrogen fueling stations pop up on the Big Island, it will likely be because of him.

At the sustainability festival, Kimo Pa, our Hamakua Springs farm manager, and I saw the hydrogen bubbling up from water that had electricity passing through it. I introduced Guy to the folks in Iowa who were exploring making NH3 (ammonia) for fertilizer and for transportation.

That evolved into asking Rick Rocheleau, head of the HNEI, how we could make hydrogen or NH3 from geothermal energy to use for transportation and fertilizer. Rick got interested and allowed this direction to develop. Mitch Ewan, who is in charge of hydrogen projects at HNEI, is the one who conceived this current project.

The following press release announces that HNEI will soon issue a request for proposals to do this project. None of this would have been possible had it not been for the active support of the folks at Puna Geothermal Venture (PGV), Mike Kaleikini, PGV’s plant manager in particular.

Here is the press release:

Honolulu, HI – The Research Corporation of the University of Hawaii (“RCUH”), on behalf of the University of Hawaii’s Hawaii Natural Energy Institute (UH-HNEI) plans to issue a Request for Proposal (RFP) the week of January 4th 2011 for the supply of a “Turn-Key” hydrogen production and fueling system as a component of a Naval Research Laboratory (NRL) and US DOE project to demonstrate hydrogen energy systems as a potential grid management tool.   The objective of this project is to evaluate the feasibility of utilizing a hydrogen production and storage system to mitigate the impacts of renewable energy generation intermittency on the Big Island electrical grid. A unique element of the overall program is the demonstration of an electrolyzer as a controllable variable load that can provide grid services such as:

·        Up regulation;

·        Down regulation; and

·        Off-peak load (relieving curtailment of as-available renewable energy).

As background, regulation is responsible for maintaining the frequency of the grid at 60 Hz.  This is accomplished by using a real-time communication signal directly controlled by the grid operator.  The regulation control signal can call for either a positive “Up regulation” or negative “Down regulation” correction.  If load exceeds generation, frequency and voltage drop, and the grid operator relays a signal to generators requesting “Up regulation.”  When generation exceeds load and frequency increases, the grid operator requests “Down Regulation” and asks generators to reduce generation.

In this mode, the electrolyzer would be operated at a production rate that would be determined by the demand for a combination of transportation fuels, auxiliary power, and chemical feedstock production.  The electrolyzer would have the ability to reduce its load (i.e. ramp down) in response to a loss of renewable generation on the system.  This capability to quickly drop load is equivalent to “up-regulation” carried by generating units on the system.  The hydrogen energy system could also provide a quick transient increase in load (i.e. ramp up) that would be useful in loss-of-load events, such as a loss of transmission lines.  For this service, the difference between the maximum capacity of the electrolyzer and the steady state defines the ability of the electrolyzer to provide down regulation.  Hydrogen produced from the system could be used for a variety of value-added products, including use as a transportation fuel for two Ford E-450 shuttle buses operated by the County of Hawaii Mass Transportation Agency.  Optimized use of the electrolyzer and high value products are intended to increase the use of renewable energy resources, and reduce barriers to the introduction of further hydrogen infrastructure in Hawaii.

The RFP is intended to promote open and transparent competition among parties able to design, fabricate, and install the system at a geothermal plant on the Big Island of Hawaii.  A key design driver is the ability for remote monitoring and control of the system over the Internet.  This RFP will be technology neutral and any type of electrolyzer i.e Alkaline or Solid Polymer Electrolyte may be proposed.  Proposers may include teams comprised of systems integrators and electrolyzer manufacturers.  A primary focus of this program is rapid delivery and installation of equipment with a target operational readiness date of August 30th, 2011.  When released, the RFP and accompanying information will be published at http://www.hnei.hawaii.edu.  Any prospective offeror desiring an explanation or interpretation of the RFP must request it in writing (emailed to: Mitch Ewan at ewan@hawaii.edu) no later than January 31st, 2011 with the subject line “RFP for Turn-Key Hydrogen System.”  It is planned to conduct a bidders meeting and / or webinar in Washington DC on January 18th, 2011.  Proposals must be received by RCUH no later than 4:00 PM HST, February 15th, 2011.

Electric Cars, Geothermal, Peak Oil

Planning For The Future

From Green Car Congress (blog subtitle: Energy, Technologies, Issues and Policies for Sustainable Mobility):

Seoul Metropolitan Government has set a goal of putting a total of 120,000 electric vehicles in use in the city by 2020, which will account for 50% of all public transport vehicles, 10% of sedans and 1% of trucks and vans. Read the rest

Governments and individuals around the world are planning for a post-Peak Oil economy.

Here in Hawai‘i, geothermal – Hawai‘i’s indigenous resource – is a gift to the Hawaiian people. It is proven technology, and it can lower and stabilize electric rates for the folks on the lowest rungs of the economic ladder.

Biofuel, Geothermal, Peak Oil

Stocking Up On Toilet Paper

What will happen when we hit Peak Oil? Probably the same thing that happens every time we hear about a dock strike: People will run out and buy three shopping carts of toilet paper.

I think that when we realize world oil supplies are starting to decline, never to recover, prices will become very volatile. Lloyds of London recently published a white paper that warns of $200 oil by 2013.

Inexpensive geothermal for electricity is something that makes sense.

Biofuels-to-electricity is not a good idea. One would have to pay a steep premium to get farmers to grow biofuels.

Next time you hear or see folks talking up biofuels, count the number of farmers in the room. Farmers know the numbers do not come out. This is not rocket science; just plain old common sense.

From the Post Carbon Institute:

It’s Official: The Economy Is Set To Starve

Posted Nov 24, 2010 by Chris Martenson

Part I: It’s the End of the Oil As We Know It…

Once a year, the International Energy Agency (IEA) releases its World Energy Outlook (WEO), and it’s our tradition here at ChrisMartenson.com to review it.  A lot of articles have already been written on the WEO 2010 report, and I don’t wish to tread an already well-worn path, but the subject is just too important to leave relegate to a single week of attention. 

Because some people will only read the first two paragraphs, let me get a couple of conclusions out right up front.  You need to pay close attention to Peak Oil, and you need to begin adjusting, because it has already happened.  The first conclusion is mine; the second belongs to the IEA. 

Okay, it’s not quite as simple as that; there are a few complexities involved that require us to dig a bit deeper and to be sure our terms and definitions are clear so that we are talking about the same things. Read the rest

Biofuel, Geothermal, Peak Oil

California’s New Move Re: ‘Climate Law’

California has just adopted a “cap-and-trade” system to cap greenhouse gases.
Sooner or later, Hawai‘i will also need to address the problem of the greenhouse gases emitted by our electric utilities. They emit greenhouse gases whether they burn fossil fuel or biofuel.
Geothermal power emits no greenhouse gases.

California Scheduled To Adopt Cap-And-Trade Rules

By Cassandra Sweet Of DOW JONES NEWSWIRES  
SAN FRANCISCO -(Dow Jones)-California regulators are scheduled Thursday to adopt the nation’s first large-scale cap-and-trade program for greenhouse-gas emissions as part of the state’s four-year-old climate law. 

Under the proposed rules, scheduled to start in 2012, the state Air Resources Board would place a limit, or cap, on greenhouse-gas emissions for the state that would decline over time. Power plants, refineries and other industrial facilities that emit carbon dioxide and can’t cut their emissions by the required amount could obtain pollution allowances from the state or buy them from other emitters with excess allowances…. Read the rest here