Developers working in both California and Hawaii quickly discover that the utility coordination process is fundamentally different between the two states. PG&E operates under the California Public Utilities Commission (CPUC) tariff framework with Rules 15 and 16. Hawaiian Electric (HECO) operates under the Hawaii Public Utilities Commission (PUC) framework with its own service rules. The end result is similar — you get electric service to your project — but the process, timeline, and cost structure differ enough to trip up teams accustomed to one system.

Service Extension Process

PG&E (California)

As covered in detail in our Rule 16 article, PG&E's process is formalized under tariff rules filed with the CPUC. The developer submits a project inquiry, receives a preliminary engineering estimate, executes an Electric Service Agreement, pays an advance, and PG&E designs and constructs the extension. The developer installs conduit, vaults, and transformer pads per PG&E specifications. Revenue credits provide partial refunds over time.

HECO (Hawaii)

HECO's process is conceptually similar but less formalized in the early stages. Key differences:

  • Initial contact: Developers work with HECO's Customer Projects group. The process starts with a service application that includes the load estimate, site plan, and construction schedule. HECO assigns a project coordinator who serves as the primary contact throughout the process.
  • Cost estimation: HECO provides a cost estimate for the line extension, but the structure of cost sharing differs from PG&E. HECO may require the developer to pay the full cost of the extension with no revenue credit, or may share costs based on the number of customers to be served and the revenue they will generate.
  • Underground vs. overhead: A significant portion of Hawaii's distribution system is overhead, even in developed areas. Converting to underground for a new development follows a process similar to PG&E Rule 20B but under HECO's own service rules. The developer typically bears the full cost of underground installation.
  • Developer-installed work: HECO specifies the conduit, pull boxes, transformer pads, and metering locations. The specifications differ from PG&E's. PG&E uses specific vault types and pad dimensions detailed in the Green Book. HECO has its own standards documents that govern these details. Do not assume PG&E details are interchangeable with HECO details — they are not.

Timeline Comparison

MilestonePG&EHECO
Preliminary cost estimate6-12 weeks4-8 weeks
Design8-16 weeks6-12 weeks
Equipment procurement12-52 weeks (transformers)16-52+ weeks (island logistics add time)
Construction4-8 weeks4-8 weeks
Energization2-4 weeks2-4 weeks
Total typical7-15 months8-18 months

HECO timelines are generally comparable to PG&E's, with one notable exception: equipment procurement. Transformers and switchgear must be shipped to Hawaii, which adds 4 to 8 weeks to the lead time compared to mainland delivery. During supply chain disruptions, this shipping delay compounds the manufacturing delay.

Solar Interconnection

Hawaii has the highest rooftop solar penetration in the United States, and HECO's interconnection process reflects this. HECO's interconnection queue has historically been one of the most congested in the country, particularly on circuits that have already reached their hosting capacity for distributed generation.

HECO's interconnection programs have evolved through several iterations:

  • Customer Grid Supply (CGS) — allows export of excess solar generation to the grid at a rate lower than the retail rate
  • Smart Export — allows export during specified time windows when the grid needs the energy
  • Customer Self-Supply (CSS) — no export to the grid; all solar generation must be consumed on-site or stored in batteries

For development projects with solar and battery storage, the interconnection application should be submitted early — ideally at the same time as the service extension request. The interconnection study and approval can take 3 to 12 months and may require distribution system upgrades at the developer's expense.

Gas Service

This is the simplest comparison: PG&E provides piped natural gas throughout its service territory. Hawaii has no piped natural gas distribution system. Residential and commercial customers in Hawaii use propane (LP gas) delivered by truck to on-site storage tanks. The infrastructure is entirely different — no gas main extensions, no Rule 15, no joint trench gas component. The propane tank, regulator, and piping are installed by the propane supplier, not the utility.

Key Takeaways for Multi-State Developers

  1. Do not use PG&E details in Hawaii. HECO has its own conduit, vault, and transformer pad specifications. The civil engineer must use HECO's standards, not PG&E's Green Book.
  2. Ship time is real. Equipment procurement timelines in Hawaii are longer due to ocean freight. Plan for it.
  3. Solar is not optional. Hawaii's building energy code effectively requires solar or equivalent renewable energy on new residential construction. The interconnection process is a schedule-critical path item.
  4. Coordinate early. Both PG&E and HECO have queues and lead times. The earlier you start the process, the less likely the utility timeline becomes the project's critical path.