Energy Democracy
There is an ecosystem of energy that operates on our island and it is not entirely clean. According to the Hawaii State Energy Office- 2019 Energy Report, we depend more on petroleum for its energy needs than any other state. While the rest of the country relies on approximately 1% of oil to produce electricity, we were fueled by 61.3 oil and 11.9% coal in 2018. Oʻahu has an unhealthy reliance on fossil fuels and we have less than fifteen years meet Hawaiʻi state law to be a 100% carbon free by 2045.
Oʻahu’s Energy System 101
Honolulu’s largest supplier of electricity is Hawaiian Electric Co. One of its major suppliers is AES Hawaii, coal-fired power plant, located in West Oʻahu. AES has a power purchase agreement with Hawaiian Electric Company (HECO) set to expire in 2022. Energy providers are regulated by our statewide Public Utilities Commission- established to create standards for maximizing cost-effective energy-efficiency programs and technologies. The commission is comprised of three persons appointed by the Governor.
HECO basically controls the energy grid, and we do like that their clean energy goals are aligned with the state. But it is critical to think about how we get there.
Right now, Hawaiʻi residents have the highest utility rates in the nation at about 200% higher than the average rate. We are also dealing with unprecedented levels of unemployment and unforeseeable economic future for residents.
That is why we are committed to ensuring that Oʻahu residents have access to affordable energy that furthers Hawaiʻi's transition to 100% renewable energy.
Building a Just Recovery
Affordable clean energy is a human right.
According to our state constitution- Article 11-Conservation, Control And Development Of Resources For the benefit of present and future generations, the State and its political subdivisions shall conserve and protect Hawaii’s natural beauty and all natural resources, including land, water, air, minerals and ENERGY SOURCES and shall promote the development and utilization of these resources in a manner consistent with their conservation and in furtherance of the SELF-SUFFICIENCY of the State.
That means that energy sources a part of the public trust, i.e they belong to us all. So it is reasonable to conclude that energy is a human right just like water. Hence, democratized and regulating our energy as a public utility is the future.
Learn more on the global movement for an energy democracy!
Publicly Owned Utilities
Recently, we have seen the poor planning that large utility companies have had and the lack of community and environmental concerns being addressed. That is because for for-profit utilities are accountable mostly to their shareholders, not the communities they operate within.
In a publicly owned utility governed by a local city council or an elected or appointed board, residents and citizens have a direct say in the decision-making process, including the rates it charges and its sources of electricity. It is not a dream, it’s a thing- more than 2,000 communities – in 49 states and 5 U.S. territories – have a public power utility. learn more here.
Distributed Power
If Oʻahu has one grid and it is owned by one company, that is a monopoly. As a for profit entity, HECO is accountable to their shareholders, not their customers.
The alternative we need is a collaboration between municipal energy companies and cooperatives is also arising. Renewable energy- solar, wind, and water sources are a part of our public trust- so why is it privatized? The means of production need to be socialized and democratized so that everyone can enjoy the fruits of a new, renewable energy system.
When we have grid distribution, i.e shared power, then individual homeowners and renters are given agency over the type of energy efficiency they have in their homes. For example- in a shift from the traditional electric power paradigm, utilities and utility customers are installing distributed generation (DG) facilities that employ small-scale technologies to produce electricity closer to the end use of power.
Rate Transparency + Affordability
In order to put the needs of communities first, residents and workers should be empowered to have greater participation in energy policy. That way, there is a stronger push for affordability and pay rate structures because the energy system is not for profit and community focused.