HI HB2110

Directs the Public Utilities Commission to open a proceeding by July 1, 2018 to establish a microgrid services tariff to encourage development and use of microgrids in Hawaii.

Defines a "microgrid project" as interconnected loads and distributed energy resources that can operate in grid-connected mode or disconnect to operate independently during emergencies, and must generate or produce energy.

Requires the microgrid services tariff to provide fair compensation for electricity and grid services, standardize interconnection processes, and explicitly excludes municipal utility cooperatives from coverage.

Directs the Public Utilities Commission to consider actions taken in other jurisdictions, including Puerto Rico's post-Hurricane Maria microgrid deployment, when establishing the tariff.

Recognizes the Natural Energy Laboratory of Hawaii Authority as having potential to operate a microgrid and may be designated as the first demonstration project following tariff establishment; takes effect July 1, 2018.