STAND. COM. REP. NO. 19

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 367

       S.D. 1

 

 

 

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

 

Sir:

 

     Your Committee on Energy and Environment, to which was referred S.B. No. 367 entitled:

 

"A BILL FOR AN ACT RELATING TO ENERGY,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to effectuate its title by amending the Hawaii Revised Statutes.

 

     Your Committee has amended this measure by deleting its contents and replacing them with provisions that:

 

     (1)  Establish a regulatory scheme for the installation and implementation of an interisland high-voltage electric transmission cable system and for the construction of on-island transmission infrastructure;

 

     (2)  Allow for a utility company to collect surcharges from its ratepayers to recover the costs of a cable installation on behalf of a cable company and exempt those surcharges from being counted as income for tax purposes;

 

     (3)  Provide for the eventual acquisition of a high-voltage electric transmission cable system by a utility company from the cable company;

 

     (4)  Allow a utility company to recover the costs of acquiring a high-voltage electric transmission cable system and developing on-island infrastructure through an automatic rate adjustment clause; and

 

     (5)  Allow a utility to recover certain costs if a high-voltage electric transmission cable system is not completed.

 

     Prior to amending this measure, a proposed S.D. 1 was prepared and made available for public review.

 

     As affirmed by the record of votes of the members of your Committee on Energy and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 367, as amended herein, and recommends that it be recommitted to the Committee on Energy and Environment, in the form attached hereto as S.B. No. 367, S.D. 1, for further consideration.

 

Respectfully submitted on behalf of the members of the Committee on Energy and Environment,

 

 

 

____________________________

MIKE GABBARD, Chair