!"#$%"&'()'($*#(+,&!-*.$%-/0&%!$1$$ !"#$%+2!-/#*3$!"#$+!),)!.3$!"#$*#(+,&!-*$ 456$7859:$1$!"#$%&'"%!
!"#$%&'$(")$*+,%-$./01+2'3%451"'(,%6171""1*%80$#+'"#%92:;1*3! $
,5;;:8:%
92::"(("2*$',%6171""%&/$(%92::"(("2*% $
48?$&9>6;@A%
?$*"2'%!&%9/(+2:$'%?$'@"#$,%6171""1*%80$#+'"#%92:;1*3% $
BC96$D:E:%
A$*$'10%&1'+*$',%=0/;2*2%B*">1>@$$ $
*:C:$2:9@6;% *:C:$2:9@6;
?$*"2'%=>0"+3%4)@2#1+$,%C1+/'10%-$(2/'#$(%D$E$*($%92/*#"0%
MAUI ENERGY CONFERENCE + EXHIBITION “THE CHANGING REGULATORY COMPACT – THE CUSTOMER, THE UTILITY, THE REGULATOR” Lorraine H. Akiba, Commissioner Hawaii Public Utilities Commission March 26, 2015
HCEI 2.0 AND UTILITY 3.0
4R’S:
RENEWABLE ENERGY, ON A RELIABLE GRID, IN A REALISTIC TIME FRAME, AT REASONABLE RATES
Utility of the Future:
Energy management services to provide customer choice and empowerment Customers are active partners in the utility transformation
2
Policy and Regulatory Reforms to Achieve Hawaii’s Clean Energy Future
Recent directives and orders to Hawaii’s utilities to implement new business models to become a world leading operator of a high renewable energy resource grid
Regulatory policies and pricing also need to reflect these new business models with new incentives to achieve Hawaii’s clean energy future
Review and revision of pricing of energy services to reflect new business and technical demands 3
Recent Major Decisions and Orders to Implement the Integrated Grid
Integrated Resource Planning Docket No. 2012-0036, Order No. 32052
White Paper entitled: “Commission’s Inclinations on the Future of Hawaii’s Utilities” which outlines the vision, strategies and regulatory policy changes required to align new utility business models with customer’s changing expectations and state energy policy
Provided specific guidance for future energy planning and review, including strategic direction for capital investments in the integrated grid of the future
4
Reliability Standards Working Group Docket No. 2011-0206 Order No. 32053
Adopted recommendations from the RSWG working group final work product for integrating utility scale and renewable energy resources in reliable and economic manner
Specific directives for actions to lower energy costs, improve system reliability and addressing emerging challenges to integrate additional intermittent renewable energy
5
Kyle Datta General Partner Ulupono Initiative !"#$%&'()%*+,-./%01+2,-,+3,% &'-34%!56%!"#$
Principles of Utility Regulation •! •! •! •!
;?@AB$8>?=C?8DEF$GHIJKL$ !""#$%&'()*$+(,-'"$).$#/.+(0"$1,2"$,30$/"'(,-'"$#.4"/$ 5,(/$,##./&.36"3)$.2$7.1)$.2$1"/+(7"$ 8/.6.)"$"7.3.6(7$"97("37*$ :30"/1),30,-'"$).$#%-'(7$,30$2",1(-'"$).$,##'*$
Principles of Utility Regulation •! •! •! •!
;?@AB$8>?=C?8DEF$GHIJKL$ !""#$%&'()*$+(,-'"$).$#/.+(0"$1,2"$,30$/"'(,-'"$#.4"/$ 5,(/$,##./&.36"3)$.2$7.1)$.2$1"/+(7"$ 8/.6.)"$"7.3.6(7$"97("37*$ :30"/1),30,-'"$).$#%-'(7$,30$2",1(-'"$).$,##'*$
•!
8:>8M$N$E8MCB$GHIOKPQKKRL$ 8/.6.)"$4S.'"1,'"$7.6#"&&.3$
•!
M'(T3$4()S$5"0"/,'$,30$F),)"$E3"/T*$8.'(7*$
•!
8/.6.)"$(33.+,&.3$
Principles of Utility Regulation •! •! •! •!
;?@AB$8>?=C?8DEF$GHIJKL$ !""#$%&'()*$+(,-'"$).$#/.+(0"$1,2"$,30$/"'(,-'"$#.4"/$ 5,(/$,##./&.36"3)$.2$7.1)$.2$1"/+(7"$ 8/.6.)"$"7.3.6(7$"97("37*$ :30"/1),30,-'"$).$#%-'(7$,30$2",1(-'"$).$,##'*$
•!
8:>8M$N$E8MCB$GHIOKPQKKRL$ 8/.6.)"$4S.'"1,'"$7.6#"&&.3$
•!
M'(T3$4()S$5"0"/,'$,30$F),)"$E3"/T*$8.'(7*$
•!
8/.6.)"$(33.+,&.3$
•!
BECA=
