STAND. COM. REP. NO. 1569-00

                                 Honolulu, Hawaii
                                                   , 2000

                                 RE: S.C.R. No. 173
                                     S.D. 1
                                     H.D. 1




Honorable Calvin K.Y. Say
Speaker, House of Representatives
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committees on Energy and Environmental Protection and
Consumer Protection and Commerce, to which was referred S.C.R.
No. 173, S.D. 1, entitled:

     "SENATE CONCURRENT RESOLUTION REQUESTING THE HAWAIIAN
     ELECTRIC COMPANY TO MAINTAIN ITS DEMAND SIDE MANAGEMENT
     PROGRAMS BENEFITTING ELECTRICITY CUSTOMERS,"

beg leave to report as follows:

     The purpose of this concurrent resolution is to request
Hawaiian Electric Company (HECO) to retain the solar water
heating rebate levels at their current levels for at least one
year beyond April 1, 2000.  This measure also requests the Public
Utilities Commission (PUC) to monitor this situation so that the
intent of this measure is faithfully implemented.

     The Hawaii Solar Energy Association, the Hawaii Renewable
Energy Alliance, Malama o Manoa, Life of the Land, and an
individual testified in support of this concurrent resolution.
The PUC supported the intent of this measure.  HECO, and its
subsidiary utilities, Hawaii Electric Light Company and Maui
Electric Company, expressed concerns about this measure.

     Your Committees have amended this concurrent resolution by
deleting its substance and inserting provisions found in H.C.R.
No. 176, H.D. 1, which your Committees reported out on April 3,
2000.  As amended, this measure requests the PUC to expeditiously
address and consider demand side management issues, including the

 
 
                                 STAND. COM. REP. NO. 1569-00
                                 Page 2

 
modification of financial incentives in related, pending, or new
commission dockets.  In light of these amendments, the title of
this measure has been amended to read: "SENATE CONCURRENT
RESOLUTION REQUESTING THE PUBLIC UTILITIES COMMISSION TO ADDRESS
AND CONSIDER ADDITIONAL DEMAND SIDE MANAGEMENT ISSUES IN RELATED,
PENDING, OR NEW COMMISSION DOCKETS.

     As affirmed by the records of votes of the members of your
Committees on Energy and Environmental Protection and Consumer
Protection and Commerce that are attached to this report, your
Committees concur with the intent and purpose of S.C.R. No. 173,
S.D. 1, as amended herein, and recommend that it be referred to
the Committee on Finance, in the form attached hereto as S.C.R.
No. 173, S.D. 1, H.D. 1.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committees on Energy and
                                   Environmental Protection and
                                   Consumer Protection and
                                   Commerce,

                                   
                                   
                                   
                                   
______________________________     ______________________________
RON MENOR, Chair                   HERMINA M. MORITA, Chair