Wednesday, May 20, 2015

Hillary's solution

How Hillary can appear more trustworthy.

-- MidWeek, May 13, 2015

Tuesday, May 12, 2015

Hawaiian Electric and solar

[5/12/15] Oahu's rooftop solar industry returned to growth in the past two months after two years of declines.

"The drought has broken, and the rain has started to fall," said Marco Man­gels­dorf, who tracks rooftop solar permits and is president of Hilo-based ProVision Solar. "It comes as a very welcome relief to Oahu PV (photovoltaic) businesses."

The number of rooftop photovoltaic permits issued in April by the City and County of Hono­lulu was up 28 percent from the same month last year. The city issued 742 permits in April, up from 577 in April 2014, Man­gels­dorf said Monday.

"Despite all the continued carping by some in the industry," the increase in permits is most likely due to Hawaiian Electric Co. approving more systems, Man­gels­dorf said. The utility is "going to where no utility on the mainland has gone before as far as circuit penetration levels of solar PV. "

HECO has said 12 percent of its customers on Oahu have rooftop solar, far more than any mainland utility.
Mangelsdorf reported last month that 610 PV permits were issued on Oahu in March. Monday he revised that number to 664, making March the first month solar permits issued went up year-over-year after 23 months of declines.

The Oahu utility has been busy approving solar systems since promising last year to clear a backlog of 2,749 systems waiting for HECO approval in October.

HECO said in an April 2 filing with the Public Utilities Commission that as of the end of March, it had approved 2,543 of the pending Oahu applications.

The solar industry took a hit when HECO announced in 2013 that all rooftop solar systems needed HECO approval before being connected to the grid. Applications started piling up after HECO was slow to approve systems in areas that already had a large number of rooftop systems. HECO said the delay was due to concerns about safety and the stability of the grid if more solar was added in those areas.
HECO said it is working on technical solutions to issues that have stalled approvals in the past.

"We know how important an option rooftop PV is for our customers, and we're continuing to perform the necessary technical reviews and proc­ess rooftop solar applications as quickly as possible," Darren Pai, HECO spokes­man, said in an email Monday. "We're also working on technical solutions and upgrades so more customers can get the benefits of rooftop PV in a way that ensures safe, reliable electric service."
Despite the number of permits issued in April, representatives of the solar industry said they do not see the increase turning the industry around.

"We were very happy to see that the queue was cleared, and businesses had some work to keep them going," said Leslie Cole-Brooks, executive director of the Hawaii Solar Energy Association. "But we are still on a long ride on the ‘solar-coaster.' With the exception of the work that has come from clearing the queue, interconnection will continue to be limited until we have updated interconnection rules in place or see massive grid defection."Roy Skaggs, project developer at Alternate Energy, said he was not hopeful about future months, noting that customers in areas with high numbers of solar connections to the grid are waiting for approval, similar to those who had pending applications in October.

"While it is good news to see permits up for the first time in two years, it is not something to get too excited about," Skaggs said. "This is just a reaction to HECO finally clearing the queue from October."

Mangelsdorf said he does not believe the growth will last long.
"How much (solar) the grid of today can accommodate still remains an open question," Man­gels­dorf said.

[2/20/15] Solar industry representatives said Thursday they blame Hawaiian Electric Co. for 400 lost solar jobs in 2014.

The Alliance for Solar Choice, a solar lobbying group, said the slow utility approval for customers looking to get rooftop solar led to the loss of solar-related jobs in Hawaii.

The Solar Foundation, a national nonprofit, said earlier this month there were 2,200 solar workers in Hawaii at the end of 2014, down from 2,600 in 2013.

In September 2013 HECO changed its policy, requiring customers to be approved by the utility before installing rooftop solar. HECO has been slow to approve rooftop photovoltaic systems in neighborhoods where it said solar power has reached 120 percent capacity. In the past, HECO said exceeding 120 percent could be dangerous to homes and the grid.

[10/10/14] The state blasted Hawaiian Electric Industries' new energy transition plan for being stuck in the past and doing more to benefit the utility than the public.

"Hawaii cannot be a trailblazer in energy innovation by solving tomorrow's problems with yesterday's solutions," said the Department of Business, Economic Development and Tourism in an 86-page filing with the state Public Utilities Commission.

DBEDT registered its frustration with the utility, saying HEI is clinging to an old business model that is incapable of meeting the goal of moving Hawaii off fossil fuels and onto renewable energy.

The electric company's plan proposes "what is best for the utilities, not what is best for the public," DBEDT said.

In August, Hawaiian Electric Co., a subsidiary of HEI, filed its plan with the PUC that included a goal of generating 65 percent of the utility's power from renewable resources by 2030, tripling the amount of solar power and cutting the average bill for most customers by 20 percent.

DBEDT said it supports those targets but "is not entirely convinced that these goals go far enough."

The PUC has received hundreds of written comments on HECO's plan and will consider them as it decides whether to approve or reject all or part of the plan. A date for the PUC's decision hasn't been set.
HECO said Thursday it would not comment on the DBEDT response or any individual submission at this time.

"We welcome all kinds of comments and look forward to the discussion process that will follow," said Peter Rosegg, spokesman for HECO.

DBEDT's comments are surprising because the state usually takes a much more neutral tone, said Robert Harris, director of public policy at San Francisco-based Sunrun Inc., a solar company.

"I think it is surprising, the unanimity of those criticisms by so many of the major players," Harris said. "You essentially have every regulatory lobby in the state of Hawaii signaling deep frustration."

DBEDT criticized the HECO companies -- Hawaiian Electric on Oahu, Maui Electric, and Hawaii Electric Light on the Big Island -- for "maintaining the traditional vertically integrated model while not making significant progress on renewable penetration in the near term."

The state agency said it prefers rapid movement away from the old business model to one where HECO would get its profits from transmission and distribution of electricity but not generating power. That would allow many small players, such as rooftop solar systems or wind farms, to connect to the grid operated by HECO.

HECO's plan is not progressive enough for Hawaii's position in the renewable-energy market, DBEDT said.

HECO's proposals relating to rooftop solar focus more on how the utility makes money and not enough on how the public can benefit from these programs, DBEDT said.

HECO proposed increasing the minimum monthly payment from customers with solar systems to $71 a month, up from $17 now, and reducing the amount HECO pays for solar power sent into the grid.

"The 'problems' these revisions are intended to address relate to ensuring a certain level of revenue or profitability for the HEI companies," DBEDT said. "These revisions are asymmetrical in that they appear focused on benefiting the HEI companies without any commensurate benefit to the public."

HECO has said it must slow down the addition of more rooftop solar systems because they might cause instability in the grid.


[9/20/14] Legislators scolded Hawaiian Electric Co. on Friday for slowing down the adoption of rooftop solar power systems, saying the delays could mean residents will miss out on a lucrative federal tax incentive.

There are 4,500 people waiting for solar approval as a result of a September 2013 rule change where HECO required customers and contractors to be approved by the utility before installing photovoltaic systems.

PV installation permits plunged 67 percent in August from the year-earlier period and were down more than 80 percent from the all-time monthly high in October 2012.

"This is a case where a serious tax credit that is helping our constituents throughout the islands is going to lapse," said state Rep. Cynthia Thielen (R, Kai­lua-Kane­ohe Bay).

A 30 percent federal tax credit available to HECO customers who install solar systems ends Dec. 31, 2016. There is also a state tax credit for PV system installations of 35 percent up to $5,000 per system, which doesn't have an expiration date.

HECO has said it needs to slow down the addition of more rooftop solar systems because the rapid increase in PV installations in the past few years has caused concern about the stability of the electric grid.

"You should have known two years ago that it was going to go beyond what you can take," said state Sen. Donna Mercado Kim (D, Kalihi-Moana­lua-Halawa) at a state Capitol briefing. "You should have figured that out. The more we give incentives, the more we give tax credits, the more you are going to encourage people, and that was the plan, encourage people. So I don't understand why we are here."

Jim Alberts, HECO senior vice president of customer service, responded that the company is looking for fixes but needs time.

"There is a whole series of solutions we have proposed to implement," Alberts said. "We just have to keep using that logical stepwise approach to implement customers over time. There isn't a silver bullet that just says everyone can interconnect."

Thielen asked why doesn't HECO approve solar systems that don't connect to the grid but provide power to the house where they are located.

"Why not move ahead with that, which would put people back to work? It lets the 4,500 people and more have some hope to move ahead," Thielen said.

The utility said it could approve what it calls non­export PV systems in a matter of weeks.

"We can do a test. A non­export systems is a system that exports nothing to the grid," said Alberts.

Thielen said she wanted to see data from HECO in the next three to four weeks that small-scale PV approvals are being made.

"Jim (Alberts), I'm going to hold you to that," said Thielen.

Thielen said fast-tracking solutions should be beneficial to both the customer and the utility.

"Why don't we move ahead with fast-tracking the interconnections of the photovoltaic systems that don't export and provide the ability to shift the exports on peak times? That, I understand, is technology that is available at this time," said Thielen.

Kim said she was concerned that the utility's goal for solar growth — as outlined in the energy efficiency plan that it filed with the Public Utilities Commission in August — is too conservative.

"You were talking about just a 6 percent (per year) increase when we have grown far greater than that, as you've shown. That is my problem. Nobody anticipated this growth," said Kim. "You supported tax credits. You supported us giving loans. You supported all of these programs to encourage people, encourage the industry."

Kim also questioned HECO's plan to charge a base rate of $71 a month to customers when some customers with solar systems are paying and were expecting to pay less than that.

"I'm concerned about the people who went out and took out loans based on what they were paying for their electric bill," Kim said.

"Now, all of the sudden, their bill is going to be $71," said Kim. "Had they known that ahead of time, it may not have been cost-effective for them to invest the $14,000, $15,000 in their systems."

*** [1/25/15]  Tired of seeing their sales decline because of a lengthy approval process for rooftop photovoltaic systems, Hawaii's solar companies are turning to other products and services to make up for lost revenue.

The offerings include solar water heaters, house fans, natural lighting solutions, electric vehicle charging stations, home automation and security, pool pumps and batteries.

Since September 2013, Hawaiian Electric Co. has required solar companies to get HECO's approval before installing systems, saying the safety of the electrical grid, utility workers and customers was at risk if too much power was generated in any one area.

The number of solar systems sold plummeted following the rule change. Last year 6,554 rooftop solar systems were given building permits on Oahu, down from 13,303 in 2013 and 16,715 in 2012. The total value of the permits last year was $201 million, a drop of more than half from $454 million the year before.