STAND. COM. REP. NO.495
Honolulu, Hawaii
, 2001
RE: H.B. No. 1385
H.D. 2
Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twenty-First State Legislature
Regular Session of 2001
State of Hawaii
Sir:
Your Committee on Consumer Protection and Commerce, to which was referred H.B. No. 1385, H.D. 1, entitled:
"A BILL FOR AN ACT RELATING TO NET ENERGY METERING,"
begs leave to report as follows:
The purpose of this bill is to encourage the increased use of renewable energy systems by amending the State's net metering law. The net metering law allows customers, who are also electricity generators using renewable systems, to hook up to the electric grid. Under the law, customer-generators offset the utility-generated electricity that they consume, with the electricity that they produce and deliver to the electric utility. This measure is modeled after the State of California's net energy metering law, and includes amendments that:
(1) Authorize both residential and commercial customer-generators to participate in the net metering program;
(2) Simplify interconnection requirements;
(3) Expand the level of customer-generator participation allowed in the net metering program, by increasing the maximum level of total rated generating capacity of customer-generators from 0.1 percent of the utility's annual peak power, to 1.0 percent;
(4) Allow one electric meter as opposed to two meters to be used to measure the customer-generator's net energy consumption or delivery;
(5) Provide that net energy is to be calculated over a 12 month period;
(6) Set out the rates and charges that are to be applied to calculate compensation owed the electric utility for a consumer-generator's net consumption of electricity; and
(7) Provide that where the electricity delivered to the utility by the customer-generator exceeds electricity supplied by the utility at the end of the 12-month net energy calculation period, the utility is not obligated to compensate the customer-generator unless the utility enters into a purchase agreement for those kilowatt hours.
The County of Kauai, Hawaii Renewable Energy Alliance, Maui Recycling Group, Sierra Club, Inter-Island Solar Supply, Pacific Region PowerLight Corporation, and five members of the Maui County Council provided testimony supporting this bill. Hawaiian Electric Company and its subsidiaries Maui Electric Company and Hawaiian Electric Light Company, supported the intent of the measure. The Public Utilities Commission and Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs commented. Kauai Electric opposed this bill.
Upon consideration of the testimony, your Committee has amended the provisions in this bill that set the level of eligible customer-generator participation, by replacing the percentage specified with a blank amount to allow further discussion.
As affirmed by the record of votes of the members of your Committee on Consumer Protection and Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1385, H.D. 1, as amended herein, and recommends that it be referred to the Committee on Finance, in the form attached hereto as H.B. No. 1385, H.D. 2.
Respectfully submitted on behalf of the members of the Committee on Consumer Protection and Commerce,
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____________________________ KENNETH T. HIRAKI, Chair |
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