STAND. COM. REP. NO. 3246

                                   Honolulu, Hawaii
                                                     , 2000

                                   RE:  H.B. No. 1883
                                        H.D. 2
                                        S.D. 2




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 2000
State of Hawaii

Sir:

     Your Committee on Ways and Means, to which was referred H.B.
No. 1883, H.D. 2, S.D. 1, entitled: 

     "A BILL FOR AN ACT RELATING TO RENEWABLE ENERGY RESOURCES,"

begs leave to report as follows:

     The purpose of this bill is to require large electric
utility companies to generate or purchase electricity derived
from wind, solar energy systems, biomass, including waste-to-
energy and landfill gas recovery, geothermal resources,
hydropower, or organic wastes, including refuse-derived fuel.

     The requirement to generate or purchase electricity derived
from renewable energy (e.g., solar energy systems) applies to
electric utility companies with sales of more than 400,000,000
kilowatt-hours of electricity per year.

     In addition, this bill:

     (1)  Allows renewable energy credits to be accumulated,
          sold, or exchanged by electric utility companies that
          generate or purchase electricity derived from renewable
          energy;


 
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     (2)  Requires the Public Utilities Commission to establish a
          program to issue, record, certify, audit, and monitor
          the sale and exchange of renewable energy credits;

     (3)  Allows the Public Utilities Commission to impose
          administrative penalties and adopt rules to enforce
          this bill and to carry out its purposes; and

     (4)  Allows citizen suits to be brought against electric
          utility companies, renewable energy generators, and the
          Public Utilities Commission to enforce this bill.

     Your Committee finds that this bill will reduce the State's
reliance on fossil fuels for the generation of electricity, all
of which must be shipped to the islands at great expense to
consumers and at great risk to the environment.

     Your Committee has amended this bill by narrowing the
definition of "renewable energy generator" to mean a facility
(rather than the owner of a facility) that produces electricity
from renewable energy.

     As affirmed by the record of votes of the members of your
Committee on Ways and Means that is attached to this report, your
Committee is in accord with the intent and purpose of H.B. No.
1883, H.D. 2, S.D. 1, as amended herein, and recommends that it
pass Third Reading in the form attached hereto as H.B. No. 1883,
H.D. 2, S.D. 2.

                                 Respectfully submitted on behalf
                                 of the members of the Committee
                                 on Ways and Means,



                                 ________________________________
                                 CAROL FUKUNAGA, Co-Chair



                                 ________________________________
                                 ANDREW LEVIN, Co-Chair

 
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