Bill Text: HI HB2043 | 2012 | Regular Session | Introduced

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Bill Title: Public Utilities Commission; Development of Renewable Energy Sources

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2012-02-07 - (H) The committee(s) on EEP recommend(s) that the measure be deferred. [HB2043 Detail]

Download: Hawaii-2012-HB2043-Introduced.html

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HOUSE OF REPRESENTATIVES	H.B. NO.	2043
TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII

A BILL FOR AN ACT

 

 

relating to renewable energy.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 

     SECTION 1.  The legislature finds that it is a role of government to identify state resources that should be used to provide economic development for the citizens of the State.  The legislature further finds that the increased use of renewable energy creates a conflict of interest for public utilities that distribute electricity and also own facilities that generate electricity using fossil fuels.  Replacing firm power fossil fuel-based electricity generation facilities with firm power facilities that use renewable sources to generate electricity would impact the overall size and profitability of certain investor-owned public utilities.  However, these public utilities can adapt to Hawaii's changing energy needs and build renewable energy power plants to replace existing fossil fuel-based power plants.  Further, these public utilities can adjust their strategy to acknowledge that their future success in Hawaii depends on their ability to be effective smart-grid managers and operators.

     The legislature also finds that public utilities that supply electricity initiate and control the request for proposal process that adds demand capacity.  This process initiates the demand in Hawaii's energy market and, in essence, becomes the State's energy plan.  The legislature finds that the public utilities commission must take a more active role in the planning process by ensuring that electric utilities' integrated resource plans include plans to replace existing plants that generate electricity using fossil fuels.

     The legislature finds that the State's focus on electricity generation must be on commercially available, Hawaii-based resources and technologies.  Geothermal, waste-to-energy, and hydroelectric renewable electricity generation resources and technologies are commercially available.  Ocean thermal energy conversion, wave energy, and biofuels based energy, while innovative, remain in a research-and-development phase or a demonstration phase and are not commercially available at this time or in the near future.

     The purpose of this Act is to direct public utilities that supply electricity to expedite the development of geothermal resources and other indigenous renewable resources for the production of electricity.

     SECTION 2.  (a)  The public utilities commission shall direct public utilities that provide electricity to the public to include in their integrated resource plans the replacement of firm power fossil fuel-based electricity generation facilities with indigenous firm power facilities that use renewable sources to generate electricity.

     (b)  The public utilities commission shall direct public utilities that supply electricity to the public to prioritize the following when developing their integrated resource plans:

     (1)  Developing facilities that generate electricity using geothermal steam on existing geothermal subzones to replace or mitigate the use of fossil fuel-based electricity generation facilities;

     (2)  Modifying existing power purchase agreements with independent power producers that contain avoided cost provisions from the existing contract to a replacement power purchase agreement that eliminates any avoided cost provision, but allows the expansion of capacity or purchased power to a term acceptable by all parties, as approved by the public utilities commission;

     (3)  Developing waste-to-energy electricity generation facilities to replace or mitigate the use of fossil fuel-based electricity generation facilities;

     (4)  Coordinating efforts with the state energy coordinator, the board of land and natural resources, and the University of Hawaii to establish new geothermal subzones for development; provided that state land shall be given priority over private land for subzone designation and development; and

     (5)  Replacing all existing fossil fuel-based electricity generation facilities on a given island and developing excess firm or intermittent electricity for transmission to other islands, including plans to develop undersea electricity transmission cables to support transmission and distribution of electricity between the islands.

     SECTION 3.  The public utilities commission shall submit a report to the legislature not later than twenty days prior to the convening of the 2013 regular session on the actions taken by the commission to effectuate this Act.  The report shall include findings, recommendations, and any proposed legislation necessary to further the purposes of this Act.

     SECTION 4.  This Act shall take effect upon its approval.

 

INTRODUCED BY:	_____________________________

 

 

Report Title:

Public Utilities Commission; Development of Renewable Energy Sources

 

Description:

Requires the PUC to direct electric utilities to place special emphasis on utilizing renewable energy sources when crafting integrated resource plans.

 

 

 

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