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The Honolulu Advertiser
Posted on: Sunday, January 11, 2009

COMMENTARY
Questions on outage fired at lightning speed to HECO VP

By Robbie Alm
HECO Executive Vice President

Hawaii news photo - The Honolulu Advertiser

Robbie Alm | HECO Executive Vice President

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Hawaii news photo - The Honolulu Advertiser

Customers shopped at an ABC store in Waikiki during last month's O'ahuwide power outage.

ANDREW SHIMABUKU | The Honolulu Advertiser

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Each week Editorial and Opinion Editor Jeanne Mariani-Belding hosts The Hot Seat, our opinion-page blog that brings in elected leaders and people in the news and lets you ask the questions during a live online chat.

On The Hot Seat last week was Robbie Alm, HECO's executive vice president.To see the full conversation, go to The Hot Seat blog at http://hotseat.honadvblogs.com (Names of questioners are screen names given during our online chat.

Ruth: Why is it taking so long to come out with the cause of the blackout? What's the process, it seems obvious?

Robbie Alm: All of us at Hawaiian Electric regret the considerable inconvenience our customers had to endure during the island-wide power outage. We know it was frustrating and we sincerely appreciate everyone's patience and understanding.

As to Ruth's question about why it has taken so long to determine the cause. On one level, we believe that lightning was the cause of a series of events that led to an island-wide outage. On another level, we need to determine how that lighting impacted the system the way it did. That will take some time.

Ladyluck: I know that during the blackout some homes with solar panels were still generating power. Is there any push from HECO to get more homes fitted with solar panels?

Alm: Absolutely. Folks with solar panels or folks with PV systems were better off than those who did not have them. And, yes, Hawaiian Electric is aggressively encouraging programs to support solar roofs and photovoltaics.

Bruce: What determines which areas of the island get their power back first? It seems most of the generators are on the west side. Should there be others in other areas?

Alm: The areas that get power back first are those nearest to the power plants as we energize the system to reach out across the island. Most generating plants at this point are located on the west side because this area is where they can get permits to be built. In addition, the plants need to be close to the ocean for cooling water used at the plants and close to fuel supply facilities.

Nanakuli Bill: Operating plants normally have backup systems that activate when the primary one goes down. What happened to HECO's? Did their steam-operated pumps go down at the same time as their electric pumps?

Alm: The O'ahu plants do have backup systems but they operate differently from many of those in other areas of the country. The larger issue of how our system operated under the circumstances of that evening are what our detail review is examining.

Keith: I have to say I am upset these full blackouts keep happening to the degree they do. I feel that we are over a barrel with one power company. I support having some competition in this market. What are your comments?

Alm: Again, we sympathize with all our customers who had to endure this outage. We do have competition in who generates that power that goes through the grid. Over 40 percent of the power on O'ahu is generated by independent companies, not Hawaiian Electric. And, people can generate their own power on site. Overall, electrical systems throughout the United States and the world operate on a common grid.

Cheryl Y.: My fridge did not operate once power was restored. I'd like to submit for reimbursement but I understand that those who submitted from the earthquake outage still are under consideration. Why the long delay and will it ever be resolved?

Alm: The Public Utilities Commission decision on the earthquake outage was received in December. Responses to the claims will go out shortly based on our review of that decision. If you want to file a claim for this outage, you can download a form at heco.com or by calling 543-4624.

Tina: What's HECO's business interest in renewable energy, besides the obvious reason of helping the environment?

Alm: Renewable energy, just like other forms of energy, is purchased by Hawaiian Electric and then distributed to our customers. It is as good a business and better from a price standpoint (for us and for our customers) to buy renewable than to buy fossil fuel-based electricity. And, of course, renewables are better for the environment.

George: Now that you have a new CEO, what is HECO's agenda for the next year or two?

Alm: In October, Hawaiian Electric signed the Hawai'i Clean Energy agreement with the governor and the Consumer Advocate and DBEDT. It committed our company to a renewable and energy efficient future for our customers and ourselves. Our new CEO, Dick Rosenblum, in his first message to all employees, confirmed his total commitment to that agreement and that future.

Peter: Why build a new power plant, is that still the plan? Let's focus on renewables. What's the status on these wind power projects, and how is HECO involved?

Alm: The new power plant will use renewable biofuels and because of its design will actually be able to help us in situations like the one we faced on Dec. 26. We agree that the focus should be entirely on renewables and have committed to never building another fossil fuel power plant. On the wind power projects we are hopeful that we will see at least one and maybe more wind projects on O'ahu and we are working to facilitate wind power coming to O'ahu from Lana'i and/or Moloka'i.

Meheroo Jussawalla: Despite the blackout, the billing practices of HECO are outmoded and anti-consumer protection. Even if the meters that record residential usage are old and outdated nothing is done to replace them or give the benefit to the users who try every way to conserve their usage. The meters just record whatever was at the whim of the reader and consumers are left with high payments, which discourage them from ever trying to conserve power. Will the outage hours be deducted from the normal billing?

Alm: Customers are not billed for hours they are without electricity. We only bill for power actually used. On the new meters, great question. One, any meter being installed today is a smart meter. Second, we have gone to the Public Utilities Commission to get approval to switch all of our customers to smart meters. We agree absolutely that this is the way to go and we look forward to the customer choice this will provide.

Jason K.: With the economy the way it is, people are having a hard time. Do you have any programs in place to aid customers who can't pay their electric bill? Also, any chance of a rate reduction to ease strained pocketbooks.

Alm: We really do understand the situation that many of our customers find themselves in. We have heard the stories and understand the challenges of our current economy. Our efforts have focused heavily on efforts to help our customers reduce their bills by reducing their use of electricity. Rebates for compact fluorescent bulbs, solar water heaters, Energy Star appliances are part of our efforts.

We are also going to be looking at what are called life line rates for people who simply cannot afford to pay their bills. Our application is due to the PUC this spring.