Kauaʻi Island Utility Cooperative to receive federal funding to expand solar energy production

Kauaʻi Island Utility Cooperative is among the first five cooperative utilities in the nation selected to move forward in the U.S. Department of Agriculture awards process for the Powering Affordable Clean Energy program.

USDA Secretary Tom Vilsack made the announcement Wednesday at the National Rural Electric Cooperative Association’s PowerXchange annual meeting in San Antonio, Texas. KIUC’s President and Chief Executive officer, David Bissell, was present for the announcement.

The applications, which total $139 million, propose to serve vulnerable, disadvantaged and Tribal communities in Arizona, Colorado, Hawaiʻi and Nebraska.

“Rural electric cooperatives are the backbone of America’s power delivery, and the Biden-Harris Administration is committed to helping them create a path toward a cleaner, more sustainable future that creates jobs and lasting economic prosperity for people everywhere,” Vilsack said.

KIUC requested $24.4 million in federal funds to expand solar energy production by installing battery energy storage systems at solar facilities in Anahola, Kōloa and Port Allen.

“The funding will help us further reduce reliance on fossil fuels during peak evening hours, improve grid reliability and resiliency, and help us move closer to our goal of 100% renewable energy by 2033,” said Bissell.

Funding for the PACE program is made possible by President Biden’s Inflation Reduction Act. This historic legislative package is the nation’s largest-ever investment in rural electric energy since the New Deal. KIUC made its application for PACE funds following USDA’s announcement in May 2023 that $1 billion would be available to fund new clean energy projects and energy storage in rural America.