Hawaii regulators have conditionally approved the power purchase agreement between Maui Electric Co. and Lahaina-based Kuia Solar LLC and South Maui Renewables Resources.

Kuia Solar plans to build a 2.87-megawatt project in Lahaina near Lahainaluna High School. South Maui Renewables Resources plans to build the 2.87-megawatt project near the Maui Research and Technology Park in Kihei. These projects will be the first utility scale solar projects on the Valley Isle.

South Maui Renewable Resources and Ku’ia Solar are joint ventures with Hawaii Pacific Solar and Haleakala Energy Associates, both Maui-based companies.

The two projects are expected to provide up to nearly six megawatts of solar power to Maui Electric’s grid at a price of 11.06 cents per kilowatt-hour.

The utility said it does not mark up or take a profit from purchased power, passing the savings directly to Valley Isle customers.