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PUC outlines regulatory role, pending rate cases and emergency Punalu‘u request
Summary
PUC staff explained the commission’s authority over utilities, the Certificate of Public Convenience and Necessity process, pending water and wastewater rate dockets, and a high-profile emergency rate request from Punalu‘u Water and Sanitation LLC asking for a 2,457% temporary increase.
Carolyn Laborte, chief auditor at the Public Utilities Commission, reviewed the PUC’s jurisdiction over regulated utilities and outlined types of applications the commission receives — including certificates of public convenience and necessity (CPCNs), rate‑increase requests, asset transfers, financing approvals and sale of utility property.
Laborte described the PUC’s investigatory powers under Hawaii Revised Statutes chapter 269 and noted statutory deadlines for final decisions in rate cases depending on a utility’s revenue. She told meeting attendees that during the COVID emergency the commission implemented a disconnection moratorium and advised utilities not to file rate increases while the governor’s emergency proclamation was in effect.
Punalu‘u emergency rate request
Laborte highlighted an active, time‑sensitive case: Punalu‘u Water and Sanitation LLC, a South‑Big‑Island water and wastewater provider, has sought a temporary rate increase and will hold a public hearing at 6:00 p.m. Laborte said, “they are requesting to increase rates by 2,457 percent.” She also noted the system’s current rates were set in 1977 at 75¢ per thousand gallons. The PUC posted links to the virtual meeting on its website for customer comments.
Other PUC matters
- Receivership and enforcement: Laborte said the PUC has statutory authority to appoint receivers for failing utilities (HRS cited), has considered that in past decades, and emphasized the need to coordinate receivership actions with Safe Drinking Water Branch and other agencies to ensure a successor entity can comply with drinking‑water rules.
- Preferential rates and penalties: she outlined statutes that permit preferential agricultural rates and described civil penalty authorities for noncompliance — up to $25,000 per day for regulated utilities.
Context and next steps
Laborte urged cross‑agency coordination on technical, managerial and financial information about small water systems, noting that operations and capital needs often emerge in rate cases and sanitary surveys. The PUC encouraged rate‑case participants, affected customers and public‑interest groups to file comments and attend dockets and hearings.
Ending: Laborte closed by directing attendees to the PUC docket portal for links to filings and the Punalu‘u hearing information.
