STAND. COM. REP. NO.  837

Honolulu, Hawaii

                , 2013

RE:   H.B. No. 810

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Sir:

     Your Committee on Consumer Protection & Commerce, to which was referred H.B. No. 810, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ELECTRIC SYSTEMS,"

begs leave to report as follows:

The purpose of this measure is to require the Public Utilities Commission to consider the value of incorporating advanced grid modernization technology into Hawaii's electrical system.

Your Committee received testimony in support of this measure from the Division of Consumer Advocacy, Department of Commerce and Consumer Affairs; Department of Business, Economic Development, and Tourism; Public Utilities Commission; Hawaiian Electric Company, Inc.; Hawaii Solar Energy Association; Blue Planet Foundation; Sierra Club, Hawaii Chapter; and one concerned individual.

     Your Committee finds that advanced grid modernization technology has the potential to increase the reliability and efficiency of Hawaii's electric system as increasing numbers of renewable energy sources begin to connect to the system.  Your Committee believes that the Public Utilities Commission should consider the use of advanced grid modernization technology as a means to improve the generation, transmission, and distribution capacity of Hawaii's electricity grid.  Accordingly, this measure will clarify the State's policy with respect to electrical grid improvements and give guidance to the Public Utilities Commission concerning its role in implementing advanced grid modernization technologies in the State.

     Your Committee has amended this measure by changing the effective date to July 1, 2112, to encourage further discussion on the measure.

     As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 810, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 810, H.D. 2.

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

____________________________

ANGUS L.K. McKELVEY, Chair