Hawaii Is Proving Renewable Energy’s Bright Future

I've long seen Hawaii as the solar industry's proving grounds, and that's true now more than ever -- particularly for the island of Kaua'i.

Earlier this year, electricity generator AES Corp. (NYSE: AES) signed a deal with the Kaua'i Island Utility Cooperative to sell electricity from a 28 MW solar farm and 100 MWh energy storage facility for 11 cents per kWh. SunPower Corp. (NASDAQ: SPWR) recently announced that it will supply the components for the project. The price of 11 cents per kWh would be competitive with retail rates on the mainland, but it's about one-third the cost of electricity on the islands, meaning it's a low-cost supplier. If Hawaii can make solar plus energy storage work economically, it'll prove the rest of the world can too.

Image source: Getty Images.

Source: Fool.com