HOUSE OF REPRESENTATIVES

H.C.R. NO.

110

TWENTY-SECOND LEGISLATURE, 2003

 

STATE OF HAWAII

 
   


HOUSE CONCURRENT

RESOLUTION

 

requesting the consumer advocate to assist in the development of standardized power purchase agreements to reduce the approval process time for the implementation of new renewable energy systems.

 

 

WHEREAS, the public favors the increased use of renewable energy; and

WHEREAS, Hawaii is overly dependent on imported foreign fossil fuels; and

WHEREAS, in 1996 the Public Utilities Commission identified alleged barriers to the development of renewables, including the length of time it takes to negotiate power purchase agreements; and

WHEREAS, the use of standardized power purchase agreements will significantly reduce the time it takes to approve new renewable energy systems to come on-line; and

WHEREAS, understanding current power purchase agreements will help in the design of one or more standardized power purchase agreements; and

WHEREAS, section 269-54(b), Hawaii Revised Statutes, provides: "The consumer advocate may ... Conduct investigations to secure information useful in lawful administration ... [and] Assist, advise, and cooperate with federal, state, and local agencies and officials to protect and promote the interests of the consumer in the public utilities field..."; now, therefore,

BE IT RESOLVED by the House of Representatives of the Twenty-second Legislature of the State of Hawaii, Regular Session of 2003, the Senate concurring, that the Consumer Advocate is requested to assist in the development of standardized power purchase agreements to reduce the approval process time for the implementation of new renewable energy systems; and

BE IT FURTHER RESOLVED that for all existing power purchase agreements, and, to the extent possible, for all power purchase agreements currently under negotiation, the Consumer Advocate is requested to create a spreadsheet that includes the following:

(1) Public Utilities Commission docket number;

(2) Public Utilities Commission approval decision and order;

(3) Public Utilities Commission approval date;

(4) The power purchase agreement expiration date;

(5) The agreed upon on-peak and off-peak rates per kilowatt-hour;

(6) Any other per kilowatt-hour payments, such as for capacity or avoided losses;

(7) Allowable frequency fluctuations;

(8) Allowable voltage fluctuations;

(9) Required ramping rates;

(10) The length of time it took to complete the:

(A) Interconnection agreement;

(B) Power purchase agreement;

(C) Consumer Advocate's review and recommendation; and

(D) Public Utilities Commission's review and decision and order; and

(11) Any other information the Consumer Advocate deems necessary, relevant, or informative to develop standardized power purchase agreements;

and

BE IT FURTHER RESOLVED that the Consumer Advocate is further requested to report on the following:

    1. The power purchase agreement spreadsheet;
    2. The methodology used by the Consumer Advocate to evaluate the non-financial costs and benefits of each power purchase agreement;
    3. Recommendations to shorten the approval process time for the implementation of new renewable energy systems; and
    4. Recommended standardized power purchase agreements;

and

BE IT FURTHER RESOLVED that the Consumer Advocate is requested to report findings and recommendations, including any proposed implementing legislation, to the Legislature no later than twenty days before the convening of the Regular Session of 2004, and to concurrently post an electronic version of its report on the Public Utility Commission's website; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Consumer Advocate and the Chair and Administrative Director of the Public Utilities Commission.

 

 

 

OFFERED BY:

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Report Title:

Consumer Advocate; Renewable Energy; Power Purchase Agreements