Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2004

State of Hawaii

Sir:

Your Committee on Energy and Environment, to which was referred H.B. No. 1944, H.D. 1, entitled:

begs leave to report as follows:

The purpose of this measure is to extend the authorization date for the issuance of special purpose revenue bonds to assist the Worldwide Energy Group, Inc. in the development of the Hawaii Sugar Ethanol Project.

Testimony in support of the measure was received from the Kauai Office of Economic Development, Hawaii Agriculture Research Center, Gay and Robinson, Inc., and Worldwide Energy Group.

Your Committee finds that the authorization of Act 136, Session Laws of Hawaii 2000 for $50,000,000 will lapse on June 30, 2004. Your Committee further finds that ethanol fuel has been identified in the Hawaii energy strategy as a means to achieve the goal of twenty-percent renewable energy by the year 2020. The extension of time will facilitate further development of the ethanol fuel project.

Your Committee has amended this bill by extending the bond authorization date to June 30, 2009, and changing the effective date to June 29, 2004.

As affirmed by the record of votes of the members of your Committee on Energy and Environment that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1944, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1944, H.D. 1, S.D. 1, and be referred to the Committee on Ways and Means.