Hoku Solar Inc. – a wholly owned subsidiary of Hoku Scientific Inc. – and United Fund Advisors (UFA) have established and capitalized an investment company intended to provide financing for photovoltaic power systems to be installed and operated in the state of Hawaii by Hoku Solar.
Hoku had previously announced its selection by the Hawaii Department of Transportation (DOT) to design, engineer and install PV power systems at airports across the state. Under the terms of its agreement with UFA, Hoku will assign its power purchase agreements to the special purpose entity, Hoku Solar Power I LLC, that has been created to own and operate each system, and that will sell the electricity generated by the PV power systems to DOT at a predetermined rate over a contract period of 20 years.
Hoku and UFA have confirmed that the financing is expected to be sufficient for Hoku to complete all seven planned PV installations at DOT facilities on Kauai, Maui and Hawaii Island, for a total of nearly 1 MW of solar power. According to the companies, these projects are the first major PV installations on Hawaii government-owned facilities and among the largest third-party-financed PV projects in the state.
SOURCE: Hoku Solar