SunPower will design, build and operate the solar photovoltaic facility, which will be located on 40 acres of land leased from the Department of Hawaiian Home Lands.

Construction of the solar farm is expected to begin this year and Hawaiian Electric will buy electricity under a fixed price contract for 20 years.

According to the US Environmental Protection Agency, the solar farm will generate enough renewable power to avoid almost 11,000 tons of carbon dioxide emissions per year.

The SunPower agreement is an outcome of Hawaiian Electric’s request for proposals for renewable energy projects for Oahu issued under the PUC’s competitive bidding framework in 2008.