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NELHA History

Research Support Facility Turned Business Incubator

• NELHA began as "NELH" in 1974 when the Hawaii State Legislature created the Natural Energy Laboratory of Hawaii on 322 acres of land at Keahole Point. NELH was mandated to provide a support facility for research on the ocean thermal energy conversion (OTEC) process and its related technologies.

• In 1979, a barge dubbed "Mini-OTEC," anchored offshore of Keahole Point, demonstrated the world€s first production of net electrical power via closed-cycle OTEC.

• In 1980, after necessary environmental impact and other surveys were completed and master permits obtained, the NELH facilities and first pipeline to draw deep seawater from 2000 feet and surface seawater from 45 feet depths were constructed at Keahole Point.

• In 1981, shore-based OTEC research began with a project testing biofouling and corrosion countermeasures for the closed cycle OTEC process.

• By 1984 it had become apparent that the seawater being pumped up for OTEC research could also be channeled into many other profitable uses. New legislation legalized commercialization on state property allowing NELH to host new tenant business ventures.

• In 1985, the Legislature created the Hawaii Ocean Science and Technology (HOST) Park on an adjacent 548 acres at Keahole in anticipation of expansion needs of NELH's growing businesses.

• In 1990, HOST Park and NELH were melded into one agency, the NELH Authority (NELHA), attached to the Department of Business, Economic Development & Tourism of the Hawaii State Government.

• In 1998-99, the Legislature expanded the activities allowed at NELHA to include other business activities that could enhance economic development and generate additional revenues to support the growing park.

• Today, NELHA is "landlord" to nearly 30 thriving enterprises which generate about $30-40 million per year in total economic impact, including tax revenues, over 200 jobs, construction activity and high value product exports. Two pipeline systems pump deep and surface seawater to shore 24/7 and a third, the world's largest and deepest (to a depth of 3,000 feet), is being developed now.

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