It sounds like your AHJ is off his/her rocker.
"Releasing Power" is generally an acknowledgement that the service is ready to be energized.
(I had an AHJ that wouldn't give us a final or release power until he saw "everything running". It was hard to convince him that the 277/480 3Ø system wouldn't work off of the 120/240 temp service. He made me rent a generator...and I'm still mad)...S
