STAND. COM. REP. NO 577

Honolulu, Hawaii

RE:    S.B. No. 488

       S.D. 2

Honorable Donna Mercado Kim

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

Madam:

     Your Committee on Commerce and Consumer Protection, to which was referred S.B. No. 488, S.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ENERGY,"

begs leave to report as follows:

     The purpose and intent of this measure is to require separate electricity utility metering of nonresidential and residential condominium units in all mixed-use condominium projects.

     Your Committee received testimony in support of this measure from the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs.

     Your Committee finds that the cost of the total electric consumption for most master-metered buildings is divided among units without taking into account a resident's individual consumption.  This measure mandates individual electricity meters in condominiums, thereby requiring the consumer of the electricity used in each condominium unit to be financially responsible for that resident's own energy consumption.  Your Committee notes that this measure also requires the cost of installing separate meters to be borne by condominium associations, rather than the electric utility.  This ensures that all electric utility ratepayers will not subsidize these costs.

     Your Committee has amended this measure by:

     (1)  Inserting an effective date of July 1, 2050, to encourage further discussion; and

     (2)  Making a technical, nonsubstantive amendment for the purposes of clarity and consistency.

     As affirmed by the record of votes of the members of your Committee on Commerce and Consumer Protection that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 488, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 488, S.D. 2.

Respectfully submitted on behalf of the members of the Committee on Commerce and Consumer Protection,

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ROSALYN H. BAKER, Chair