HB644 HD1

HOUSE OF REPRESENTATIVES	H.B. NO.	644
TWENTY-FOURTH LEGISLATURE, 2007		H.D. 1
STATE OF HAWAII

A BILL FOR AN ACT

relating to a bioenergy master plan.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that significant steps were taken during the 2006 legislative session to move Hawaii towards a more sustainable energy future: renewable energy tax credits were increased and made permanent, programs for renewable hydrogen and solar water heating were established, and energy efficiency measures are now required to be considered by state agencies. A biofuel preference for state agencies was also established as well as a mandate requiring twenty per cent of highway fuels be comprised of alternate fuels by the year 2020.

The legislature also finds that Hawaii should further diversify its energy system and reduce its dependence on imported petroleum by introducing bioenergy resources into the overall energy system.

In response to this desire to diversify Hawaii's energy system, a biofuels summit and a bioenergy workshop were held during 2006 to explore the potential for a domestic bioenergy and biofuels future. Both resulted in the realization that initiating a bioenergy industry in Hawaii must first address a diverse and very complex set of issues that involves many public and private stakeholders.

These two activities demonstrated the effectiveness of facilitated collaboration and pointed to the value of a mechanism to coordinate development of supply, production capability, and infrastructure, each with long independent lead times, which is understood and supported by both public and private stakeholders. Therefore, the legislature finds that the preparation of a biofuels master plan is necessary to establish a cohesive roadmap for the development of a bioenergy industry in Hawaii.

The purpose of this Act is to task the department of business, economic development, and tourism with the development and preparation of a bioenergy master plan for Hawaii. This master plan will set the course for the coordination and implementation of policies and procedures to develop a bioenergy industry in Hawaii.

SECTION 2. (a) The department of business, economic development, and tourism shall develop and prepare a bioenergy master plan. The bioenergy master plan shall address but is not limited to the following issues:

(1) Specific objectives, milestones, and timelines;

(2) Water resources;

(3) Land resources;

(4) Distribution infrastructure for both marine and land;

(5) Labor resources and issues;

(6) Technology to develop bioenergy feedstock and biofuels;

(7) Permitting issues;

(8) Financial incentives and barriers and other funding issues;

(9) Business partnering;

(10) Policy requirements necessary for implementation of the master plan; and

(11) Identification and analysis of the impacts of transitioning to a bioenergy economy.

(b) The department of business, economic development, and tourism shall submit an interim report of its progress, including any proposed legislation to facilitate the finalization of a master plan or support preliminary findings to accelerate the implementation of a bioenergy future for Hawaii, to the legislature no later than twenty days prior to the convening of the regular session of 2008. The department shall submit a final report, including the bioenergy master plan, as well as any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2009.

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $500,000, or so much thereof as may be necessary for fiscal year 2007-2008, and the same sum, or so much thereof as may be necessary for fiscal year 2008-2009.

The sums appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.

SECTION 4. This Act shall take effect on July 1, 2007.