The state Department of Commerce and Consumer Affairs granted Hawaiian Telcom’s application for a license to start a cable television franchise today.

The license gives Hawaiian Telcom the right to offer video service over its phone lines in competition with Time Warner Oceanic Cable.

Hawaiian Telcom, the state’s largest phone company, applied for the cable TV license at least five years ago.

Hawaiian Telcom emerged from two years of bankruptcy protection in October. The company has been losing land-line customers and hopes the added TV service will boost revenues.

DCCA said, “with (Hawaiian Telcom) entering the market, there will be competition in cable services, and consumers will have the ability to choose their cable service.”

The state agency also said, the license “provides continued funding to Olelo for PEG (public, education and government) access services, and the Hawaii Public Television Foundation – PBS Hawaii.”

“These commitments by (Hawaiian Telcom) warrant the issuance of a cable franchise term of fifteen years, subject to ongoing supervision and review by the state,” said DCCA Director Kealii Lopez, in a statement.