Ormat Technologies, Inc. Puna Geothermal Venture: Permitting and Operation in Hawaii
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Ormat Technologies, Inc. 110 MW geothermal Combined Cycle Plant, New Zealand 10 MW Geothermal modular binary unit, San Miguel Island 145 MW of REG power plants in North America A pioneer and world leader in Organic Rankine Cycle (ORC) technology, with a focus on Geothermal and Recovered Energy Generation REG power applications Listed on the New York Stock Exchange (NYSE: ORA) Market cap: US $759 Million (August 29, 2011) Sales 2010: US $373 Million Over 1,150 employees worldwide (~ 500 in U.S.) Supplied 1,370 MW of geothermal and recovered energy power plants in 24 countries, owns and operates 553 MW generation worldwide Vertically integrated R&D, engineering, manufacturing, installation, support & O&M Equipment Supply, EPC, BOT or IPP
1881: King Kalakaua asks friend, Thomas Edison, to find way to 19611962: First geothermal wells drilled in Kapoho by Richard Lyman 19811989: HGP-A 3 MW geothermal facility proves viability; but with drawback of H 2 S release and noise 1993: First commercial geothermal power plant startup located in Puna for reinjection of brine and H 2 S Noise abatement
Geothermal Benefits Clean Sustainable Local Indigenous Reduces usage of fossil fuels Renewable
Clean and Renewable Air-cooled: No water consumption 100% fluids re- interior Uses no fossil fuels, emits no greenhouse gases Near-zero emissions Recent upgrades further reduce noise
Puna Geothermal Venture Site Online in 1993 Today: 5 production wells 4 injection wells
PGV 30 MW contract with HELCO through 2027 ~20% of Big Island electrical use Displaces ~144,000 barrels of oil annually Air-cooled: No water consumption 100% fluids re-injected into Uses no fossil fuels Near-zero emissions Operating since 1993 Recent upgrades further reduce noise Aerial of PGV - near Pahoa
Permitting PGV: Successful Case Study Build relationships with stakeholders Community education Landowner participation County, State & Federal agencies Local and State legislative support Maintain ongoing stakeholder relations Routine and regular updates to adjacent communities Routine and regular updates to government agencies, legislators Participation with business organizations Financial support of local education and social organizations Volunteering time to support educational or other related organizations
Siting PGV: Successful Case Study Determined by location of geothermal subzone location (legislatively) Site happens to be in active lava inundation zone Surrounding area is zoned as agricultural lands Ag zoning resulted in affordable homes being built close to the PGV site Outreach to community in the siting area
Economic Contributions 30 full-time employees Numerous routine & seasonal contractors Royalty payments to the State, County & OHA >$2M annually
8 MW Expansion 25 MW contract remains as is 5 MW contract at fixed price which is close to 50% less than current pricing 8 MW contract at fixed price which will be greater than 50% lower than current pricing Dispatchable energy, remotely and automatically controlled by HELCO System Operator Optimizes geothermal resource, brine not previously used will generate the additional power
In Summary Ormat has a successful track record developing geothermal power plants PGV has experienced and overcome unique hurdles in permitting and siting PGV successfully produces 38 MW of renewable electricity 30 MW currently provided to residents of HI 8 MW PPA waiting on decision from PUC Ormat is committed to the communities in which it operates and will continue to provide clean, reliable energy