STAND. COM. REP. NO.468

Honolulu, Hawaii

, 2001

RE: H.B. No. 1386

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. 1386, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO DISTRIBUTED ELECTRIC GENERATION,"

begs leave to report as follows:

The purpose of this bill is to require the Public Utilities Commission (PUC) to adopt uniform interconnection standards and practices to create a streamlined procedure for interconnection that maintains the safety and reliability of the electric grid.

The Energy Coordinators of the County of Hawaii and the County of Kauai, Apollo Energy Corporation, and Hawaii Renewable Energy Alliance testified in support of the bill. The Consumer Advocate supported the intent of the bill and recommended that a House Resolution may be more appropriate to achieve the desired goals of this bill. The Gas Company also supported the intent of the bill but asked that the standards include recommendations based on the Institute for Electrical and Electronics Engineers' standards, which should be finalized by the end of the year. The Public Utilities Commission raised concerns regarding its six-month deadline to develop these standards and practices. Hawaiian Electric Company and its subsidiary utilities, Maui Electric Company and Hawaii Electric Light Company, asked that the measure by held.

Your Committee recognizes that the PUC must be provided adequate time in which to adopt and implement uniform interconnection standards and practices. To allow sufficient time for the PUC to complete its work, your Committee has amended this bill by removing the strict deadline requirements that the PUC shall:

(1) Submit its recommended uniform interconnection standards and practices to the legislature no later than twenty days prior to the regular session of 2002, together with any legislation necessary to finalize and adopt the standards and practices by rule; and

(2) Submit uniform interconnection standards and practices rules developed pursuant to this Act and in accordance with chapter 91, HRS, to the governor for approval by January 1, 2003, following the regular session of 2002.

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. 1386, 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. 1386, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection and Commerce,

____________________________

KENNETH T. HIRAKI, Chair