SB 2487: PUC; RATEMAKING; PERFORMANCE-BASED INCENTIVES; HAWAII RATEPAYER PROTECTION ACT OF 2026

Requires the Public Utilities Commission to establish performance-based incentives, including revenue adjustment mechanisms, cost control mechanisms, and reward and penalty mechanisms on or before 1/1/2027.  Clarifies that the Public Utilities Commission is authorized to adopt alternative ratemaking procedures to establish electric utility rates and performance-based incentives.  Requires the Public Utilities Commission to apply a presumption in favor of considering historical cost trends and external indices that reflect incentives to control costs if the Commission resets an electric utility's allowed revenues based on consideration of the utility's costs.  Effective 7/1/3000.  (HD1)