RENEWABLE ENERGY

- TO MINIMIZE OUR CARBON FOOTPRINT

- TO MINIMIZE OUR DEPENDENCE ON FOSSIL FUELS

- TO MINIMIZE OUR CONTRIBUTION TO GLOBAL CLIMATE CHANGE

PRESENTATION FOR MS. SHARON SUZUKI

MAUI ELECTRIC COMPANY

RENEWABLE ENERGY

BY

CLIF HASEGAWA

CLIFTON M HASEGAWA & ASSOCIATES, LLC

AGENDA

1. Purpose of Our Meeting

2. Company Overview

3. Our Team

4. Hawaii Clean Energy Initiative

5. Hawaiian Electric Company’s Renewable Energy Portfolio Goals

6. Hawaiian Electric Company and Its Subsidiary Companies

7. Renewable Energy Technologies

8. Photovoltaic Renewable Energy

9. Connection Requirements

10. Types of Agreements

11. Photovoltaic Contractor

12. Photovoltaic Sites

13. Environmental, Community and Cultural

14. Memorandum of Understanding and Mutual Agreement

15. Our Commitment

PURPOSE OF OUR MEETING

To introduce our team to Maui Electric Company Renewable Energy Representatives, to share our commitment to photovoltaic renewable energy and to become an active participant in Hawaiian Electric Company’s Partnership for Change.

To develop a mutual understanding for the delivery of photovoltaic power to the Maui Electric Company system during peak and off-peak hours.

To develop a mutual process to establish a Memorandum of Understanding and Mutual Agreement.

COMPANY OVERVIEW

Who We Are

Clifton M. Hasegawa & Associates, LLC specializes in project development and program

management for clients committed to photovoltaic renewable energy.

We provide innovative, knowledge-based solutions.

We embrace projects and programs of any size and any degree of complexity.

We provide a dynamic team approach designed to meet the needs, requirements and goals

of our clients.

We were founded in 1999 as Clifton M. Hasegawa & Associates, a sole proprietorship.

We became Clifton M. Hasegawa & Associates, LLC in 2004.

COMPANY OVERVIEW

MISSION

To be the resource of choice

To develop and to provide resources for photovoltaic projects and programs

To deliver innovative, knowledge-based eco-friendly solutions that:

a. Provide energy security

b. Minimizes our contribution to global climate change

c. Are accomplished in collaboration with environmental, community and cultural groups and organizations

To devote and dedicate our very best to minimize risk, maximize success and

continually optimize to meet or exceed the expectations of our clients

CLIF HASEGAWA

PRIOR ASSIGNMENTS

Advisor to Major General Rupert Burris, Commander, Air Force Communications Command for the sale of the Alaskan Microwave System to RCA Alascom.

Advisor to Major General Gerald Prather, Commander, Air Force Communications Command for environmental litigation.

Advisor to Major General Thomas Bruton, Judge Advocate General, Air Material Command for Civil Reserve Air Fleet Mobilization.

Advisor to John Whalen, General Counsel, Defense Information Systems Agency, for the DOD purchase of ComLogNet from Western Union – the precursor of today's Internet.

Advisor to Brigadier Jerome Landry, Commander, Defense Information Systems Agency, Defense Commercial Communications Office for the development and implementation of policies and procedures resulting from U.S. Department of Justice anti-trust lawsuit against AT&T in 1974.

Advisor to Brigadier General Marsha Tamblyn, Commander, Defense Information Technology Contracting Office for International Telecommunications Contracts.

Advisor to Lieutenant General Al Edmonds, Director, Defense Information Systems Agency for telecommunications and computer procurements for DOD agencies, FAA and GSA.

Telecommunications / Information Technology Litigation Team. Appointed by Lieutenant General Al Edmonds, Director, Defense Information Systems Agency, Washington, D.C.

Lieutenant Colonel (0-5), United States Air Force, Retired, May 2, 2009.

OUR TEAM

CERTIFIED PUBLIC ACCOUNTANT

ROD AKAMINE, CPA

AKAMINE OYADAMORI & KOSAKI, INC.

HONOLULU, HAWAII

REAL ESTATE

KEONE BALL ( R )

CAROL BALL & ASSOCIATES REALTORS

MAUI, HAWAII

JOE PAIKAI (R)

HAWAII REALTY ASSOCIATES, LLC

HONOLULU, HAWAII

LEGAL

RAY KAMIKAWA, ESQ.

CHUN KERR DODD BEAMAN & WONG A LIMITED LIABILITY LAW PARTNERSHIP

HONOLULU, HAWAII

FINANCIAL RESOURCES

INTERNATIONAL, MAINLAND, HAWAII

INDIVIDUAL INVESTORS, TRUSTS, ESTATES, INVESTMENT GROUPS

Hawaii Clean Energy Initiative

To partner with Hawaii and serve as a global model for creating a sustainable, flexible, and

economically vibrant path to a

carbon-free energy future

March 2008

RENEWABLE ENERGY PORTFOLIO GOALS

• 2010 -- 10%

• 2015 -- 15%

• 2020 -- 25%

• 2030 -- 40%

HAWAIIAN ELECTRIC

HAWAIIAN ELECTRIC INDUSTRIES (HEI)

HAWAIIAN ELECTRIC COMPANY (HECO)

HAWAIIAN ELECTRIC LIGHT COMPANY --- (HELCO)

MAUI ELECTRIC COMPANY (MECO)

RENEWABLE ENERGY TECHNOLOGIES

• PHOTOVOLTAIC (PV)

• WIND TURBINE

• HYDROPOWER

• BIOMASS

• GEOTHERMAL

• WAVE

• HYBRID SYSTEM CONSISTING OF TWO OR MORE

PHOTOVOLTAIC RENEWABLE ENERGY

Sun Power of Schools

Hickam Air Force Base Photovoltaic (PV) System

Net Energy Metering Rate

Lahaina Civic Center

217 kW photovoltaic array on Archer Substation,

Honolulu, Hawaii

PHOTOVOLTAIC RENEWABLE ENERGY

The Basis of Our Commitment

PV produces clean, reliable, firm power.

PV production is during daylight hours.

Maui Electric Company system demand during peak and off-peak hours is capable of integrating PV power.

Delivery of PV power to the Maui Electric system during peak and off-peak hours requires mutual understanding, collaboration and mutual agreement.

PV power will be a major part of transitioning to renewable energy.

INTERCONNECTING WITH

THE UTILITY POWER GRID

• Written Agreement between utility,

Customer and System Owner

• Required if you generate electricity in

parallel with the utility

• Contains technical standards and other

requirements for the power generating unit

TYPES OF AGREEMENTS

• Net Energy Metering (NEM)

• Standard Interconnection Agreement

(SIA)

• Power Purchase Agreement

NET ENERGY METERING

• Renewable energy technology

• Systems less than 100 kW

• Excess energy can offset

purchases

STANDARD

INTERCONNECTION AGREEMENT

• Renewable Energy Technology

• Systems >100 kW

• No energy efficiency rebate for pv

• State and Federal tax incentives

POWER PURCHASE AGREEMENT

• No restriction on technology

• No restriction on system size

• Sale of Energy to HECO

THE PHOTOVOLTAIC CONTRACTOR

• [E] engineering. electrical, mechanical.

• [P] procurement. obtains components. insures system balance. (Balance Of System)

• [C] construction. installation.

• [M] management. provides follow-on.

PHOTOVOLTAIC SITES

Land whether privately owned or special purpose is the most

widely used platform for construction of a photovoltaic power

plant.

A land is becomingly ever increasingly scarce. New and

innovative ways need to be explored.

The major criteria to be met is provided in the following two

maps.

Hana

Kahului

Wailuku

Kihei

Wailea

Lahaina

Pukalani

KulaHaleakala

This map was produced by the Office ofPlanning (OP) for planning purposes.It should not be used for boundary inter-pretations or other spatial analysis beyond the limitations of the data. Informationregarding compilation dates and accuracy ofthe data presented can be obtained from OP.

Sources:ALISH (Agricultural Lands of Importance to the State of Hawaii) - State Dept. of Agriculture, 1977.Major Roads - USGS, 1983.

Island of Maui

Major Roads

ALISH

Prime

Unique

Other

0 5 102.5 Miles

ENVIRONMENTAL, COMMUNITY AND

CULTURAL

Our team has a global understanding, unwavering commitment and deep reverence for our environment, our diverse cultures and our heritage.

Change is a process of openness, understanding and collaboration.

We have been involved in all phases of the process including litigation at the State and Federal levels.

We will strive to address and resolve environmental, community and cultural issues and concerns.

MEMORANDUM OF UNDERSTANDING AND

MUTUAL AGREEMENT

PV site

1. Location

2. Requirements for connection

3. Proximity to substation

PV plant size

Designed to compliment Maui Electric Company system demand during

peak and off-peak hours

Power purchase rate

Contract term

Major factors

1. Peak and off-peak hours

2. Parameters for delivery of PV power

3. Curtailment

Other factors affecting power purchase

Maui Electric Company requirements

OUR COMMITMENT

Our team is committed to work in stride with

Maui Electric Company to be a photovoltaic resource

actively and continually contributing to

Hawaiian Electric Company’s

Renewable Energy Portfolio Goals

Our team is committed to work in stride with

Maui Electric Company

in transitioning to renewable energy