STAND. COM. REP. NO.  1220-14

Honolulu, Hawaii

                , 2014

RE:   H.R. No. 167

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred H.R. No. 167 entitled:

"HOUSE RESOLUTION URGING THE PUBLIC UTILITIES COMMISSION TO ESTABLISH ENERGY EFFICIENCY AND CONSERVATION PROGRAMS AND APPROPRIATE RATE DESIGN INCENTIVES FOR ELECTRICITY USED OR CONSUMED FOR AGRICULTURAL ACTIVITIES THAT PRODUCE FOOD FOR LOCAL CONSUMPTION,"

begs leave to report as follows:

The purpose of this measure is to achieve greater food security in the State by offsetting the energy costs for food producers in Hawaii.

The Department of Agriculture; Local Food Coalition; and Hawaii Cattlemen's Council, Inc. testified in support of this measure.  The Public Utilities Commission commented on this measure.

     Your Committee has amended this measure by:

     (1)  Clarifying that the Public Utilities Commission is urged to direct the Public Benefits Fee Administrator to design energy efficiency and conservation programs specific to the agriculture sector;

     (2)  Specifying that the Public Utilities Commission is urged to direct Hawaii's electric utilities to offer incentives for agricultural uses that can utilize off-peak times or participate in demand response programs; and

     (3)  Changing its title to read:  "URGING THE PUBLIC UTILITIES COMMISSION TO ESTABLISH ENERGY EFFICIENCY AND CONSERVATION PROGRAMS FOR AGRICULTURAL ACTIVITIES THAT PRODUCE FOOD FOR LOCAL CONSUMPTION AND TO DEVELOP APPROPRIATE INCENTIVES FOR AGRICULTURAL USES THAT MAY BE SHIFTED TO OFF-PEAK TIMES OR MAY BE AVAILABLE TO PARTICIPATE IN DEMAND RESPONSE TO THE BENEFIT OF THE ELECTRIC GRID.".

     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 concurs with the intent and purpose of H.R. No. 167, as amended herein, and recommends that it be referred to the Committee on Agriculture in the form attached hereto as H.R. No. 167, H.D. 1.

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

____________________________

CHRIS LEE, Chair