Hawaii Regulator Approves $86 Million for First Phase of HECO’s Grid Modernization Plan

The Hawaii Public Utilities Commission on March 25 authorized the initial, four-year phase of the Hawaiian Electric Companies’ grid modernization strategy set to begin later this year. The companies will invest $86.3 million in advanced meters, a meter data management system, and a telecommunications network. The companies said that the first phase marks a “foundational step” in transitioning to a dynamic, bidirectional platform from the traditional grid built for one-way power flow.

The first phase will enable the functionality needed by the programs, rates, and tariffs that the commission is considering, including the distributed energy community-based renewable energy program, demand response, and transportation electrification, according to HECO.

The cost of implementing the phase is estimated to be 24 cents a month for a residential customer on Oahu, 34 cents on Maui, 27 cents on Molakai and Lanai, and 55 cents on Hawaii Island.