STAND. COM. REP. NO. 554

                                   Honolulu, Hawaii
                                                     , 1999

                                   RE:  S.B. No. 96
                                        S.D. 1




Honorable Norman Mizuguchi
President of the Senate
Twentieth State Legislature
Regular Session of 1999
State of Hawaii

Sir:

     Your Committee on Economic Development, to which was
referred S.B. No. 96 entitled: 

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

begs leave to report as follows:
     
     The purpose of this measure is to allow solar devices to be
sited for optimal efficiency.

     Your Committee received testimony in support of this measure
from the Department of Business, Economic Development, and
Tourism, Inter-Island Solar Supply, and the Sierra Club, Hawai`i
Chapter.  Life of the Land testified in opposition.

     Your Committee finds that many homeowners are not able to
take advantage of Hawaiian Electric Company's (HECO) popular
residential program for purchase and installation of solar water
heaters, because their homeowners association restricts the
placement of these energy saving devices for aesthetic reasons.
The HECO program requires that each system be sited and oriented
within very specific limits in order to optimize system
performance.

     Your Committee is supportive of both the increased energy
efficiency and the cost savings of solar heating devices, and
believes homeowners should be allowed to take advantage of these
benefits if they so choose.  Your Committee has amended this
measure to clarify that the owner of a townhouse may not be

 
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                                   STAND. COM. REP. NO. 554
                                   Page 2


prohibited from siting a solar energy device on a common area
townhouse roof for optimal efficiency.

     As affirmed by the record of votes of the members of your
Committee on Economic Development that is attached to this
report, your Committee is in accord with the intent and purpose
of S.B. No. 96, as amended herein, and recommends that it pass
Second Reading in the form attached hereto as S.B. No. 96,
S.D. 1, and be placed on the calendar for Third Reading.

                                   Respectfully submitted on
                                   behalf of the members of the
                                   Committee on Economic
                                   Development,



                                   ______________________________
                                   LORRAINE R. INOUYE, Chair

 
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