THE SENATE                           S.C.R. NO.            180
TWENTIETH LEGISLATURE, 2000                                
STATE OF HAWAII                                            
                                                             
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                    SENATE  CONCURRENT
                        RESOLUTION

  REQUESTING THE PUBLIC UTILITIES COMMISSION TO CREATE AND
    IMPLEMENT A STANDARDIZED POWER PURCHASE AGREEMENT.



 1        WHEREAS, the public utilities forecast that the energy
 2   needs of this State will increase over the next half-century;
 3   and
 4   
 5        WHEREAS, at some point, the current power plants will need
 6   to be retired and new sources of generation will need to be
 7   constructed; and
 8   
 9        WHEREAS, independent power producers can serve this need;
10   and
11   
12        WHEREAS, negotiating a power purchase agreement can
13   currently take up to five years, discouraging many potential
14   generators from investing the time and money with no guarantee
15   of return; and
16   
17        WHEREAS, having a standardized power purchase agreement
18   that addresses important issues such as interconnection, price,
19   and supply will allow these potential generators to effectively
20   compete to service the Hawaii market; and
21   
22        WHEREAS, the community at large would benefit by lower
23   costs; now, therefore,
24   
25        BE IT RESOLVED by the Senate of the Twentieth Legislature
26   of the State of Hawaii, Regular Session of 2000, the House of
27   Representatives concurring, that the Public Utilities
28   Commission is requested to create and implement a standardized
29   power purchase agreement; and
30   
31        BE IT FURTHER RESOLVED that in conducting this review, the
32   Public Utilities Commission is requested to consult with the
33   appropriate authorities and experts; and
34   

 
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                                  S.C.R. NO.            180
                                                        
                                                        


 1        BE IT FURTHER RESOLVED that the Public Utilities
 2   Commission is requested to submit a report concerning the
 3   status of this request and any findings and recommendations to
 4   the Legislature not later than twenty days prior to the
 5   convening of the Regular Session of 2001; and
 6   
 7        BE IT FURTHER RESOLVED that certified copies of this
 8   Concurrent Resolution be transmitted to the Chairperson of the
 9   Public Utilities Commission, the Presidents of Hawaiian
10   Electric Company, Citizens Utilities Company doing business as
11   "Kauai Electric", Life of the Land, Sierra Club, AES Hawaii,
12   Inc., Zond Pacific, Inc., Apollo Energy Corporation, and Kahua
13   Ranch Ltd.; the General Partners of Kawaihae Cogeneration
14   Partners, Kalaeloa Partners L.P., Encogen Hawaii L.P., and
15   Honolulu Resource Recovery Venture doing business as "HPower";
16   the Manager of Brewer Environmental Industries, L.L.C. doing
17   business as "Hilo Coast Power Company"; and Hawaii Renewable
18   Energy Alliance.
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20 
21 
22                         OFFERED BY:  ____________________________