POSTED: 1:09 p.m. HST, Mar 20, 2013
LAST UPDATED: 2:27 p.m. HST, Mar 20, 2013
The state Public Utilities Commission has approved a settlement between the Hawaiian Electric Co. and the state consumer advocate under which the utility agreed to withdraw a $20 million rate hike request for Hawaii island customers, and write off $40 million in costs for two major projects.
The agreement to withdraw the 2013 rate case for customers of HECO’s Hawaii island subsidiary was the result of community concerns about high electric rates received by the state Division of Consumer Advocacy the utility during recent public hearings there.
Under the agreement HECO also will not seek to recover from ratepayers part of the costs for a 110-megawatt biofuel generating station at Campbell Industrial Park and the company’s new customer information system. This write-off already has been reflected in the utilities’ financial results for 2012.
In addition, Hawaiian Electric agreed to delay the filing of its next rate case for customers on Oahu, which was originally scheduled for this year under the current regulatory schedule for periodically evaluating electric rates.