STAND. COM. REP. NO. 119

Honolulu, Hawaii

RE:    S.B. No. 704

       S.D. 1

Honorable Shan S. Tsutsui

President of the Senate

Twenty-Sixth State Legislature

Regular Session of 2011

State of Hawaii

Sir:

     Your Committee on Energy and Environment, to which was referred S.B. No. 704 entitled:

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

begs leave to report as follows:

     The purpose and intent of this measure is to exempt third party owners and operators of solar energy facilities and equipment located on a customer's property from the definition of public utility thereby simplifying the processes by which solar energy can be used by the customer and sold to the utility.

     Your Committee received testimony in support of this measure from Mark Duda, Hawaii Solar Energy Association; The Solar Alliance; Warren Bollmeier, Hawaii Renewable Energy Alliance; and Sanjay Ranchod, SolarCity.  Your Committee received comments on this measure from Carlito P. Caliboso, Public Utilities Commission. 

Your Committee finds that the exemption from regulation as a public utility under this measure will promote the use of solar energy by more Hawaii residents and lessen Hawaii's overall dependence on fossil fuels.

Your Committee has amended this measure by making technical, nonsubstantive amendments for the purposes of clarity and consistency.

     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 S.B. No. 704, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 704, S.D. 1, and be referred to the Committee on Commerce and Consumer Protection.

Respectfully submitted on behalf of the members of the Committee on Energy and Environment,

____________________________

MIKE GABBARD, Chair