Waste-to-energy firm BioEnergy Hawaii has set up a joint venture with investment firm Ulupono Initiative to finance a resource recovery facility planned for the west side of Hawaii Island.
The two companies will share all financial obligations and proceeds of the US$50 million facility. The project will be located near the Puuanahulu landfill with the exact location to be released when lease negotiations are final. Construction is scheduled to begin during the summer of 2016.
The West Hawaii facility will be completely financed with private equity. BioEnergy Hawaii has the support of a US$100 million special purpose revenue bond issued by the State of Hawaii.
In addition to providing resources in capitalization and finance, Ulupono will offer BioEnergy Hawaii guidance and support through a system-based model that connects companies within its portfolio of investments. Ulupono will ensure the project is financially viable, sustainable, disciplined and benefits Hawaii County’s waste, energy and agriculture systems.
“We believe BioEnergy Hawaii’s planned resource recovery facility on the west side of Hawaii Island will substantially divert waste from going to the landfill to instead be used for recycling, compost and conversion of waste into energy,” said Ulupono’s General Partner Kyle Datta. “We’ve analyzed the state’s entire waste system across all counties and feel BEH’s integrated technology approach will not only benefit Hawaii County, but has the potential to be applied in other counties as well.”
The project will accept municipal solid waste delivered by local waste collection companies, and divert 70% of it from the West Hawaii Sanitary Landfill. The project will include advanced recycling operations and produce multiple value products from the waste streams including recyclable commodities, organics, and residual solid fuel.