THE SENATE |
S.B. NO. |
2930 |
TWENTY-SIXTH LEGISLATURE, 2012 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to public utilities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. The legislature finds that Hawaii relies on imported oil to meet over ninety per cent of the State's energy needs, leaving the State vulnerable to supply interruptions and oil price volatility. Bold action is needed to chart a progressive energy strategy for Hawaii that includes the integration of Hawaii's renewable energy resources in electricity production to promote economic stability, enhance energy security, and demonstrate environmental stewardship.
The purpose of this Act is to authorize the public utilities commission to establish a wheeling tariff to enable nonutility suppliers of electricity to use the transmission and distribution facilities of an electric utility to distribute power to the suppliers' end-use customers.
SECTION 2. Chapter 269, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:
"§269- Wheeling tariff. (a) The public utilities commission is authorized to establish a wheeling tariff to enable the wheeling of electricity generated by nonutility generators over an electric utility's distribution and transmission facilities to the nonutility generators' end-use customers.
(b) The public utilities commission may establish requirements in conjunction with the tariff to ensure, among other things:
(1) Nondiscriminatory access by nonutility generators to the electric utility's distribution and transmission facilities by requiring each nonutility generator to sell per cent of the anticipated amount of energy produced each year to residential end customers and per cent of the anticipated amount of energy produced each year to non-residential end customers;
(2) That wheeling tariffs paid to an electric utility producer by a nonutility generator shall be used solely by the electric utility to offset the actual cost of transmitting and distributing the energy produced by the nonutility generator;
(3) The financial responsibility of nonutility generators;
(4) The ability and willingness of a nonutility generator to supply power in accordance with all applicable statutes, rules, contracts, agreements, and arrangements; and
(5) Fair dealing between electric utilities and all other electric energy producers.
(c) The public utilities commission may adopt rules pursuant to chapter 91 to implement this section.
For the purposes of this section:
"Nonutility generator" means a person or entity that produces electrical energy but is not a public utility.
"Wheeling" means the act of transporting electric power using distribution and transmission facilities owned or operated by an electric utility."
SECTION 3. New statutory material is underscored.
SECTION 4. This Act shall take effect upon its approval.
INTRODUCED BY: |
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Report Title:
Public Utilities; Renewable Energy
Description:
Allows the public utilities commission to permit a third party generator of electrical energy to sell directly to third party consumers by enabling wheeling over an electric utility's transmission and distribution facilities. Allows the public utilities commission to set requirements for the amount of energy that each third party generator may sell to commercial and residential customers.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.