Latest news with #GlennWakai
Associated Press
08-07-2025
- Business
- Associated Press
Is HECO's monopoly over? New law could change power market
Hawaiian Electric Co.'s century-long hold on Hawaiʻi's electricity market soon will change in a major way, creating a potential path to lower rates for businesses and residents. Starting in 2027, HECO will be required to let independent electricity producers use its grid to deliver electricity directly to customers for a fee, potentially ending the utility's standing as the sole choice for most electric consumers in the state. Under the current system, producers must sell electricity at a wholesale price to HECO, which pools it to sell to customers at a higher rate. Gov. Josh Green signed the groundbreaking bill on Thursday, despite having previously signaled his intent to veto the measure. It remains to be seen to what extent the new system will lead to significant savings for residential customers. A previously passed law allowing renters to buy power from community solar farms, for instance , has gone nowhere, hampered by what critics say are untenable rules. But even critics of the new law have said it could generate savings for some customers. State Sen. Glenn Wakai, who chairs the Energy and Intergovernmental Affairs Committee and sponsored the bill, said the measure was meant to introduce competition in Hawaiʻi's electricity market and reduce costs in a state where customers pay the nation's highest costs for electricity — more than three times the national average. 'We have for more than 100 years been at the mercy of HECO for our electricity needs, and we've seen in recent times that the delivery of that electricity has been very unreliable and very, very expensive,' Wakai said. 'In the next two years, come 2027, all HECO's customers will have an option of buying from someone other than HECO.' 'I think this is a game changer to benefit the consumers,' Wakai said. Green's office also expressed optimism. 'We believe that the provisions contained within the bill will allow for greater energy choice and hopefully a reduction in costs for Hawai'i's consumers,' Green's spokeswoman, Makana McClellan, said in a written statement. HECO spokesman Jim Kelly declined an interview request. Law Could 'Really Open Up Our Grid' The law includes several provisions to break HECO's hold on Hawaiʻi's electricity market, but the most important involves what energy experts call wheeling. Under the current system, developers build big wind and solar farms and sell the power to HECO under long-term contracts. HECO pays as little as 8 cents per kilowatt hour for electricity from these independent power producers, said Jeff Mikulina, a renewable energy consultant who was an architect of the law requiring Hawaiʻi to produce all of the electricity sold in the state from renewable resources by 2045. Meanwhile, HECO charges residential customers on Oʻahu almost 43 cents per kilowatt hour. Big Island residents pay 48 cents. Wakai said a goal of the law is to enable customers to pay closer to what the renewable electricity costs HECO to buy and to encourage smaller players to get in the game. The wheeling provision does this by letting independent electricity producers pay a set fee to use HECO's grid to deliver power to customers. Although wheeling has long been allowed on the mainland, it's been prohibited by law in Hawaiʻi. The PUC had been investigating a proposal to allow wheeling between government entities only, and Green's intent-to-veto statement pointed to that as a reason to veto the broader bill. Green decided to sign the broad bill after the PUC said it would cancel the intra-governmental wheeling inquiry, McClellan said. Hawaiʻi's previous prohibition against wheeling has played out on the ground at places like Green Homes Hanalei, a cluster of seven homes in west Oʻahu built in 2017 around the idea of using solar and storage to make the subdivision as energy self-sufficient as possible. Developer R.J. Martin powered each home with photovoltaic solar cells combined with two Tesla Powerwall batteries. Each home had garages with chargers for electric vehicles. Martin wanted to go further and link the homes with a small power grid that would let homeowners share surplus power with each other. But he quickly learned that would be illegal. Homeowners would have to become regulated utilities to share surplus electricity with their neighbors. 'No one in their right mind is going to go through that exercise,' Wakai said. 'So now, it just simplifies what has been all these walls and impediments put up by the government as well as by HECO.' Martin hopes the new law will enable him to do something more innovative in the near future: use renewables and perhaps a microgrid to power a larger, workforce housing subdivision he's planning for West Oʻahu. But much will depend on how the Hawaiʻi Public Utilities Commission implements the law, Mikulina said. 'If the PUC does it right, it can really open up our grid to some innovative renewable solutions,' Mikulina said. 'This could catalyze renewable growth and really help folks who need access to this.' Critics Say Some Could Be Left Out Critics point to potential unintended consequences. A major issue involves equity. The concern is that HECO customers with the money and wherewithal to partner with an independent power producer will defect from HECO, leaving those less well-off to still deal with higher rates. Testifying against the bill, the International Brotherhood of Electrical Workers Local 1260, which works on utility infrastructure, argued the long-term technical effects of wheeling on HECO's grid are unknown. 'Further,' the union wrote, 'the fixed-cost of operating and maintaining the system will remain unchanged and passed on to those left in the system, essentially increasing the cost of electricity to those who can least afford it.' Given this risk, it will be key to make sure lower-income residential customers can benefit as the commission creates rules governing the program, said Michael Colón, director of energy for the Ulupono Initiative, which supports the use of renewable energy. To address such concerns, Wakai said, the law limits the size of a wind or solar farm allowed to use the wheeling provision to two megawatts, the size needed to power about 3,000 homes. 'We're not talking about, you know, large 50- to 60-megawatt plants going and selling to all the Waikīkī hotels,' Wakai said. 'That's not going to be possible under this scenario.' 'What is possible under this scenario,' he said, 'is, if you have let's say 10 acres of land that can create two megawatts of power, you are free to go and sell to the nearby residents or wheel it across the island to someone who's willing to take it.' That's promising news to people like Steve Mazur, director of commercial business development for RevoluSun, one of Hawaiʻi's largest solar companies. Mazur said he's encountered business owners with energy hogging cold storage systems but small rooftops located near businesses with huge rooftops but little electricity needs. If implemented well by the PUC, Mazur said, the new law could make way for solar panels on the large roof to power the neighboring business. 'These rooftops are sitting there empty,' he said. 'There has to be something to entice them.' ___ This story was originally published by Honolulu Civil Beat and distributed through a partnership with The Associated Press.
Yahoo
25-06-2025
- Business
- Yahoo
Hawaiian Electric under fire for service issues and high costs
HONOLULU (KHON2) — State lawmakers grilled Hawaiian Electric and the Hawaii Public Utilities Commission (PUC) on Monday over rising electricity costs and what they called unreliable service, during a hearing examining the state's performance-based regulation system. Deadly force 'justified' in 2023 Pearl City unattended police rifle case The system, known as PBR, was implemented in 2021 to encourage utilities to improve performance while controlling costs. But lawmakers expressed concern that the policy has yet to deliver meaningful benefits to consumers. About 80,000 Hawaii residents are considered 'energy burdened,' meaning they spend a disproportionate share of their income on electricity, according to lawmakers. Nearly 13,000 customers were disconnected in 2023 for nonpayment. 'Undoubtedly the rates are going to go up and we're getting poor service,' said Sen. Glenn Wakai, (D), the Senate Majority Floor Leader. 'How are you going to reconcile this for the public?'PUC Chairman Leo Asuncion responded that the commission has opened a docket specifically to review the disconnection process used by Hawaiian Electric and Kauai Island Utility Cooperative (KIUC). Hawaiian Electric Vice President Jim Kelly testified that the utility posted a $1.2 billion loss last year. 'That was our profit—$1.2 billion loss,' he said. 'I just wanted to have that correct for the record.' Wakai pointed out that part of the loss was related to wildfires, which Kelly confirmed. 'We're talking about rates—where the public is paying for power, and it's always disrupted—and it's three times the national average,' Wakai added. During the hearing, lawmakers also revealed the existence of a whistleblower complaint alleging internal staff and morale issues at the PUC, which they said could be hampering the commission's ability to effectively regulate key industries. Asuncion denied the allegations raised in the complaint. Download the free KHON2 app for iOS or Android to stay informed on the latest news The hearing marked the latest in a series of state-level efforts to scrutinize Hawaii's energy policies amid mounting public frustration over costs and service reliability. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
13-05-2025
- Politics
- Yahoo
State land board rejects Army lease extension on training site
HONOLULU (KHON2) — The state's land board rejected the U.S. Army's extension of its lease of the Pohakuloa Training Area on the Big Island, leaving the future of the military's training in Hawaiʻi unclear. State Senator Glenn Wakai says that if the military is not able to use the lands for training such as live fire exercises. Federal, local law enforcement aim to crack down on ghost guns 'America needs to be ready, and the frontline for America is Hawaiʻi,' Wakai said. 'America's military readiness is going to be hampered because they're not able to do live fire exercises anywhere in the state of Hawaiʻi.' Wakai warns that the consequences of the military not having access to Pohakuloa Training Area, Kahuku, Makua and Poamoho for training won't just be a national security issue, but an economic one as well. 'In light of [the military] being the third largest economic driver, after tourism and real estate, the military is a significant player here,' the senator said. 'We need to do whatever we can to accommodate their needs, but not, of course, jeopardizing our environmental factors as well.'The Board of Land and Natural Resources' rejection of the military's lease extension was not out of left field, with the military having a spotty history in Hawaiʻi's ʻāina. 'I think what the problem with the military has been is that they haven't always been the perfect environmental stewards of our lands,' Wakai said. 'They have not cleaned up Kahoʻolawe. They had a disastrous catastrophe with red hill.' The military used the island of Kahoʻolawe for bomb testing in the 1940s, with decades of military activity taking place on the sacred island. Military bombing of the island stopped in the 1990s. Download the free KHON2 app for iOS or Android to stay informed on the latest news The island still has ordnances, with efforts to clean up the land ongoing. In addition to the military activity on Kahoʻolawe, the military only paid $1 annually on the 65-year lease agreement, leaving a poor taste in everyone's mouth. 'The military only paid us $1 a year. That needs to change,' Wakai said. 'They need to pay fair market value for whatever lease agreement is reestablished. They got away with it for, almost free, for 65 years.' The BLNR Chair Dawn Chang says the Army can appeal the board's decision or file a lawsuit. The board will consider a lease extension for Kahuku, Makua and Poamoho in June, Chang said. The Army's land leases on Pohakuloa Training Area, Kahuku, Makua and Poamoho are currently set to expire in 2029. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
30-04-2025
- Sport
- Yahoo
Pacific Pipeline: Hawaii lawmakers look to Asia for UH athletics boost
HONOLULU (KHON2) — With more than 360 division one athletic programs across the U.S., the University of Hawaii often finds itself fighting for scraps in the national recruiting game. But one state lawmakers says the key to leveling the playing field might be found across the Pacific. Interested in early childhood education? UH Manoa posts new degree option For decades, the University of Hawaii has struggled to keep pace with powerhouse athletic programs on the mainland, which have deeper pockets and larger platforms. 'There are 360 D-1 programs in America, and Hawaii is trying to get a small sliver of that. We should still try to go after that small sliver. But I think our strength is on the other side of the Pacific,' said State Senator Glenn Wakai. Wakai is spearheading an effort to position UH as a gateway for elite athletes from Asia, particularly Japan, where what he calls the 'Shohei Effect' is inspiring a new generation of young stars who dream of playing in the U.S. 'Kids nowadays are in Japan in middle school, they don't want to live their dreams in the Japanese major leagues. They want to come to America,' said Wakai. 'We really should be looking towards Asia to get athletes to develop a fan base and ultimately get NIL money to go pay for the future quarterbacks the University of Hawaii needs.' UH this year, has five student athletes from Japan. Wakai believes there is untapped potential in other parts of Asia, and this year, the state legislature has set aside some money for going after UH fans in the region. Kauai spearfisher lands 130-plus pound fish, almost dragged to the depths 'But now we also have to have a concerted effort where we're going to develop relationships with these athletes, schools, develop relationships with the coaches,' said Wakai. 'It's not a brand new idea. This idea has surfaced in the last couple of decades,' said sports analyst Rich Miano. With aging facilities and without any Fortune 500 companies in Hawaii, what's needed is a larger investment in infrastructure and long-term commitment. 'I think it's worth not only exploring, but actually financing to see how it could actually help the university because there's not a whole lot of avenues for the University of Hawaii to create not only great sports teams, but revenue producing sports teams,' said Miano. Wakai is also trying to work with local broadcasters to livestream games involving Asian athletes, making it easier for fans across the Pacific to stay connected. Others agree an international strategy could give UH a unique edge.'I would think any corporation in Asia would love to have their student athlete or their talent, being showcased in the United States, on the college level, you see it on the professional level, so it would be a win-win,' said David Kawada, Ahahui Koa Anuenue President and Executive Director. Wakai thinks it'll take at least five to see efforts pay off, but says its more than wins and losses. It's reimagining UH's place in the college sports landscape. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
10-02-2025
- Business
- Yahoo
New bill seeks to build casinos and legalize gambling
KHON2 (HONOLULU) — Hawaii is one of two states in the country where gambling is illegal. A new bill aims to bring in casinos and legalize gambling.'Considering that we kind of all joke in this community about how Las Vegas is the Ninth Island, this approach is to bring that Ninth Island back home, to bring the revenues back up, to bring the excitement of casino gaming to Hawaii,' stated Senator Glenn Wakai. Super Bowl LIX could break sports betting records A new bill would grant 20-year licenses for casinos in the New Aloha Stadium Entertainment District and Hawaii Convention Center. It would also establish the Hawaii Gaming Control Commission, impose a 15% tax on gross receipts and create a state gaming fund and compulsive gambler program. 'Today is the biggest gambling day of the entire year. People are doing parlay sheets. They're betting galore today. Why can't we as a state legalize that and take a tax off of all of that action taking place?' said Wakai. Lawmakers who voted against the bill said it could be harmful to communities. 'All of the people who are going to spend their paycheck every couple of weeks with that hope of trying to win— it's known that when you have access easily to lose your money, you're probably gonna lose your money if you're not disciplined,' said Senator Brenton Awa. Those in favor of bringing casinos to Hawaii said it could lead to fewer illegal game rooms across the state. 'Gambling is happening in our community, kind of in the dark alleys and in some closed quarters. By having it out in the open in a casino, all of those poker parlors that are the scourge of many areas… those will have just no reason to exist,' Wakai said. Wakai said most of the revenue would go to the Department of Education among other programs. 'For those who might fall into addictive behavior, we have to make sure that we have programs for them. So a small portion will go to that, but a bulk of it will go to education,' Wakai said. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
