§269-95  Renewable portfolio standards
study.  The public utilities commission shall:



(1)  By December 31, 2007, develop and implement a
utility ratemaking structure, which may include performance-based ratemaking,
to provide incentives that encourage Hawaii's electric utility companies to use
cost-effective renewable energy resources found in Hawaii to meet the renewable
portfolio standards established in section 269-92, while allowing for deviation
from the standards in the event that the standards cannot be met in a
cost-effective manner or as a result of events or circumstances, such as
described in section 269-92(d), beyond the control of the utility that could
not have been reasonably anticipated or ameliorated;



(2)  Gather, review, and analyze empirical data to:



(A)  Determine the extent to which any proposed
utility ratemaking structure would impact electric utility companies' profit
margins; and



(B)  Ensure that the electric utility
companies' opportunity to earn a fair rate of return is not diminished;



(3)  Use funds from the public utilities special fund
to contract with the Hawaii natural energy institute of the University of
Hawaii to conduct independent studies to be reviewed by a panel of experts from
entities such as the United States Department of Energy, National Renewable
Energy Laboratory, Electric Power Research Institute, Hawaii electric utility
companies, environmental groups, and other similar institutions with the
required expertise.  These studies shall include findings and recommendations
regarding:



(A)  The capability of Hawaii's electric
utility companies to achieve renewable portfolio standards in a cost-effective
manner and shall assess factors such as:



(i)  The impact on consumer rates;



(ii)  Utility system reliability and stability;



(iii)  Costs and availability of appropriate
renewable energy resources and technologies;



(iv)  Permitting approvals;



(v)  Effects on the economy;



(vi)  Balance of trade, culture, community,
environment, land, and water;



(vii)  Climate change policies;



(viii)  Demographics; and



(ix)  Other factors deemed appropriate by the
commission; and



(B)  Projected renewable portfolio standards to
be set five and ten years beyond the then current standards;



(4)  Evaluate the renewable portfolio standards every
five years, beginning in 2013, and may revise the standards based on the best
information available at the time to determine if the standards established by
section 269-92 remain effective and achievable; and



(5)  Report its findings and revisions to the
renewable portfolio standards, based on its own studies and other information
to the legislature no later than twenty days before the convening of the
regular session of 2014, and every five years thereafter. [L 2004, c 95, pt of
§2; am L 2006, c 162, §6; am L 2009, c 155, §4]



 



Cross References



 



  State support for achieving renewable portfolio standards,
see §196-41.