STAND. COM. REP. NO.  242

 

Honolulu, Hawaii

                , 2017

 

RE:   H.B. No. 1283

      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. 1283 entitled:

 

"A BILL FOR AN ACT RELATING TO ENERGY,"

 

begs leave to report as follows:

 

     The purpose of this measure is to ensure that electric utility rates are fair and reasonable by requiring the Public Utilities Commission to establish by January 1, 2020, performance incentive mechanisms and penalty mechanisms that directly tie electric utility revenues to the utility's achievement on performance metrics.

 

     The Blue Planet Foundation, Life of the Land, Distributed Energy Resources Council, Sierra Club of Hawaii, Hawaii Solar Energy Association, and many individuals supported this measure.  The Hawaiian Electric Company and its subsidiary utilities Maui Electric Company and Hawaii Electric Light Company opposed this measure.  The Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, Public Utilities Commission, and Alliance for Solar Choice provided comments.

 

     Your Committee has amended this measure by requiring the Public Utilities Commission to consider fair compensation for utility employees in its review of electric utility performance when developing performance incentive and penalty mechanisms.

 

     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. 1283, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1283, 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