Hitachi, Ltd., Cyber Defence Institute, Inc. and Mizuho Corporate Bank, Ltd. have been selected as contractors for a smart grid demonstration project on Maui Island in Hawaii, spearheaded by the New Energy and Industrial Technology Development Organization as the result of feasibility study that was conducted from May to September this year by Hitachi and other companies, spearheaded by the New Energy and Industrial Technology Development Organization as the result of feasibility study which was conducted from May to September this year by Hitachi and other companies. Serving as the project leader, Hitachi will take a leading role and coordinate the entire project.

The Project, a joint undertaking by the U.S. and Japan, is based on the Japan-U.S. Clean Energy Technologies Action Plan, which was agreed to following the Japan-U.S. Heads of State Summit held in November 2009. These contractors will cooperate with the State of Hawaii, Hawaiian Electric Company, Inc., the University of Hawaii, and the U.S. National Laboratories in the Project. The project is expected to be completed by the end of March 2014. The estimated budget for the project is approximately US$ 37 million.

The objectives of the project are to establish a system model for the integration of clean energy and to verify cutting-edge technologies in a smart grid system on Maui where a high percentage of renewable energy is already in place. The system being tested mitigates the impact of variable renewable energy generation and uses renewable energy efficiently. Other objectives of the project include contributing to standardization of a low-carbon social infrastructure system deployment to other islands and semitropical regions all over the world.

The target and schedule of the project are as follows:

1. The target

1) “Advanced load shift” for maximum utilization of renewable energy

2) “Direct control” of home electric appliances and PV generation output control by smart PCS to withstand rapid changes in power supply and demand

3) “EV/PHEV management system” coordinated with the grid management system for the impact of EV/PHEV high penetration

4) “Cyber security” to improve safe operation of the system

5) “Autonomous control architecture” for system scalability and highly responsive energy control

6) Evolution of community and infrastructure based on the integrated control system of EV/PHEV management system and the grid management system using the latest information and communication and control technology to improve quality of life

7) Evaluation of the efficiency of demonstration systems developed for the Project. Establish business models and assessment tools for remote island social infrastructure systems based on the project results

2. Schedule of the Project

1) From October, 2011 and FY2012: System design and construction

2) From the beginning of FY2013 and FY2014: Demonstration and business case assessment