STAND. COM. REP. NO.  193

Honolulu, Hawaii

                , 2017

RE:   H.B. No. 1567

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 1567 entitled:

"A BILL FOR AN ACT RELATING TO THE PUBLIC UTILITIES COMMISSION,"

begs leave to report as follows:

The purpose of this measure is to authorize the Public Utilities Commission (Commission) to establish preferential electricity rates for communities that serve as geographic hosts for renewable energy projects.

Life of the Land and an individual supported this measure.  Blue Planet Foundation supported the intent of this measure.  The Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs and the Commission provided comments.

     Your Committee has amended this measure by:

     (1)  Inserting a purpose section;

     (2)  Clarifying that the Commission may authorize preferential electricity rates for ratepayers residing in communities that serve as geographic hosts for energy projects; and

     (3)  Providing that the Commission shall not allow a preferential electricity rate to absolve an energy project developer from providing additional community benefits.  

     As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1567, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1567, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

CHRIS LEE, Chair