Commitments and contingencies (Tables) - HECO (Hawaiian Electric Company, Inc. and Subsidiaries)

9 Months Ended

Sep. 30, 2013

Hawaiian Electric Company, Inc. and Subsidiaries

Regulatory projects and legal obligations

Schedule of reductions from the interim D&O

Maui Electric 2012 test year rate case.  On May 31, 2013, the PUC issued a final D&O in the Maui Electric 2012 test year rate case. Final rates became effective August 1, 2013. The final D&O approved an increase in annual revenues of $5.3 million, which is $7.8 million less than the interim increase that had been in effect since June 1, 2012. Reductions from the interim D&O relate primarily to:

(in millions)
Lower ROACE	$	4.0
Customer Information System expenses	0.3
Pension and OPEB expense based on 3-year average	1.5
Integrated resource planning expenses	0.9
Operational and Renewable Energy Integration study costs	1.1
Total adjustment	$	7.8

Schedule of changes in asset retirement obligation

Changes to the ARO liability included in “Other liabilities” on Hawaiian Electric’s balance sheet were as follows:

	Nine months ended September 30
(in thousands)	2013			2012
Balance, beginning of period	$	48,431		$	50,871
Accretion expense	833			1,233
Liabilities incurred	—			—
Liabilities settled	(1,165		)	(2,788		)
Revisions in estimated cash flows	(916		)	—
Balance, end of period	$	47,183		$	49,316