The Hawaii Public Utilities Commission resumed on Monday morning its evidentiary hearing in the review of the proposed $4.3 billion acquisition of the Hawaiian Electric companies by Florida-based NextEra Energy Inc.
The PUC proceeding has been on hold since late December, when the initial 12 days of scheduled testimony proved not to be enough time.
The merger review has generated more interest from the public than any previous regulatory action, according to PUC Chair Randy Iwase, and therefore necessitated a much larger meeting room than is typically required. The room at the Neil S. Blaisdell Center in Honolulu used for the first phase of the hearing was not available until now.
Monday consisted of Jeff Ono, executive director of the state Division of Consumer Advocacy, cross-examining James Ajello, chief financial officer of Hawaiian Electric Industries, the parent company of the Hawaiian Electric companies, including Hawaii Electric Light Co. on the Big Island.
Ono questioned Ajello about a number of documents submitted to the PUC in response to requests for information regarding the proposed merger of NextEra and the Hawaiian Electric companies.
Among the subjects discussed were early assessments of Hawaiian Electric’s business and the potential impacts of a takeover by NextEra; the proposed $20 million change of control payments, also known as “golden parachutes,” that are to be made to HEI and NextEra executives once the merger is complete; and whether NextEra might opt to reduce the workforce within any of the Hawaiian Electric companies following a two-year moratorium the company has committed to in its pursuit of regulatory approval of the acquisition.
Na Leo o Hawaii on the Big Island and Olelo Community Media on Oahu have continued to cover the hearings, offering the meetings live in their entirety, as well as offering rebroadcasts, and providing on-demand viewing online. For more information, visit https://naleo.tv.
The hearings will continue each day this week until Friday, and then resume on Monday and run through Feb. 10.
Iwase has said PUC members anticipate making a decision about the merger by June.
Email Colin M. Stewart at cstewart@hawaiitribune-herald.com.
