HB1524

SECTION 1. Chapter 269, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:

“Part . GREENHOUSE GAS INITIATIVE

§269- Greenhouse gas initiative standard. (a) The carbon dioxide emissions level of all electric utility companies that sell electricity for consumption in the state, shall be capped at the 2007 carbon dioxide emissions level. This standard shall be entitled the greenhouse gas initiative standard.

Between 2015 and 2019, each electric utility company shall incrementally reduce its carbon dioxide emissions to achieve a ten per cent reduction of 2007 carbon dioxide emissions level by January 1, 2020.

(b) As used in this part:

"Electric utility company" means a public utility as defined under section 269-1, for the production, conveyance, transmission, delivery, or furnishing of electricity.

"2007 carbon dioxide emissions level" means the statewide aggregate short tons of carbon dioxide emissions produced in 2007 by all existing electric utility companies that sell electricity for consumption in the state, per kilowatt hour of electricity produced.

§269- Rulemaking. The public utilities commission may adopt rules necessary for the purposes of this part, pursuant to chapter 91, to ensure the annual aggregate amount of carbon dioxide emissions does not exceed the 2007 carbon dioxide emissions level.

§269- Violations. Any electric utility company not meeting the greenhouse gas initiative standard shall report to the public utilities commission within ninety days following the violation, and provide an explanation for not meeting the standard. The public utilities commission shall have the option to either grant a waiver from the standard or an extension for meeting the prescribed standard.

§269- Penalties. If the public utilities commission determines that an electric utility company fails to meet the greenhouse gas initiative standard set forth in this part, after a hearing in accordance with chapter 91, the utility shall be subject to penalties to be established by the public utilities commission; provided that if the commission determines that the electric utility company is unable to meet the greenhouse gas initiative program standards due to reasons beyond the reasonable control of the electric utility, the commission, in its discretion, may waive in whole or in part any otherwise applicable penalties."

SECTION 2. No later than January 1, 2008, the public utilities commission shall determine the 2007 carbon dioxide emissions level to be used as the basis of the reduction goal by determining the total short tons per kilowatt hour of carbon dioxide emissions from the aggregate amount of carbon dioxide emitted from all existing electric utility companies governed under this Act.

The department of business, economic development, and tourism and the department of health shall provide assistance to and cooperate with the public utilities commission to determine the 2007 carbon dioxide emissions level.

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2007-2008 for the purposes of this Act.

The sum appropriated shall be expended by the public utilities commission for the purposes of this Act.

SECTION 4. This Act shall take effect on July 1, 2007, provided that section 1 shall take effect on January 1, 2008.

INTRODUCED BY:	_____________________________

HOUSE OF REPRESENTATIVES	H.B. NO.	1524
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII