STAND. COM. REP. NO. 784

Honolulu, Hawaii

RE:    S.B. No. 1040

Honorable Donna Mercado Kim

President of the Senate

Twenty-Seventh State Legislature

Regular Session of 2013

State of Hawaii

Madam:

     Your Committee on Ways and Means, to which was referred S.B. No. 1040 entitled:

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

begs leave to report as follows:

     The purpose and intent of this measure is to facilitate the use of advanced grid modernization technology in Hawaii's electrical system.

     Your Committee received written comments in support of this measure from the Department of Business, Economic Development, and Tourism; Public Utilities Commission; Hawaiian Electric Company; and one individual.

     Your Committee finds that advanced grid modernization technology has the potential to improve the capacity of Hawaii's electric system to generate, transmit, and distribute power.  Accordingly, your Committee believes that the Public Utilities Commission should consider the use of advanced grid modernization technology in the State as a means to improve the electrical system overall.

     As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1040 and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

____________________________

DAVID Y. IGE, Chair