STAND. COM. REP. NO.  494

Honolulu, Hawaii

                , 2007

RE:   H.B. No. 226

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fourth State Legislature

Regular Session of 2007

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 226 entitled:

"A BILL FOR AN ACT RELATING TO GREENHOUSE GAS EMISSIONS,"

begs leave to report as follows:

     The purpose of this measure is to appropriate funds to the Department of Health in order for the Department to prepare the Hawaii comprehensive clean air plan.

     Testimony in support of the measure was received from the Honolulu Seawater Air Conditioning, LLC, and the Conservation Council for Hawaii.  Testimony in opposition to the measure was received from the Department of Health.  Comments on the measure were received from the Department of Business, Economic Development, and Tourism, the Western States Petroleum Association, and Life of the Land.

     Your Committee has amended this measure by deleting its contents and replacing it with a proposal to establish a new chapter on greenhouse gas emissions reduction to be administered by the Department of Health.  The new chapter requires the Director of Health to determine what the statewide greenhouse gas emissions level was in 1990, and to use that 1990 emissions level as the statewide greenhouse gas emissions limit that the State must achieve by the year 2020.  The new chapter also requires the Director of Health to adopt rules by which the maximum technologically feasible and cost-effective greenhouse gas emission reductions may be achieved.

     Furthermore, this bill was also amended to appropriate funds out of the environmental response revolving fund for the Director of Health to administer the greenhouse gas emissions reduction requirements.

     Your Committee finds that this measure will encourage investments in the development of innovative and pioneering technologies that will assist the State in reducing greenhouse gas emissions.

     As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 226, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 226, H.D. 1, and be referred to the Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

HERMINA MORITA, Chair