STAND. COM. REP. NO.  1578-14

Honolulu, Hawaii

                , 2014

RE:   S.B. No. 2658

      S.D. 3

      H.D. 2

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Seventh State Legislature

Regular Session of 2014

State of Hawaii

Sir:

     Your Committees on Energy & Environmental Protection and Water & Land, to which was referred S.B. No. 2658, S.D. 3, H.D. 1, entitled:

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

beg leave to report as follows:

The purpose of this measure is to complement the uses of utility scale solar energy generation and local food production on agricultural land with an overall productivity rating of class B or C even if percentage of acreage limits are exceeded, by requiring a special use permit for the solar energy facility which:

     (1)  Requires that the area occupied by the facility be made available for compatible agricultural activities at a lease rate that is at least fifty percent below fair market rent for comparable properties; and

     (2)  Requires that the facility be decommissioned and removed within twelve months of the conclusion of operations.

The Department of Business, Economic Development, and Tourism; Department of Planning and Permitting City and County of Honolulu; Tin Roof Ranch; and Blue Planet Foundation supported this measure.  The Department of Agriculture; Office of Planning; Land Use Commission; First Wind Solar Group; and Hawaii Renewable Energy Alliance commented on this measure.  

     Your Committees note the concerns that were raised regarding the competing uses on agricultural lands.  Accordingly, your Committees have amended this measure by additionally requiring, with respect to special use permits required for solar energy facilities exceeding percentage of acreage requirements on agricultural land with an overall productivity rating of class B or C:

(1)  That the applicant provide proof of financial security to decommission the facility to the satisfaction of the appropriate county planning commission prior to the date of commencement of commercial generation; and

(2)  Decommissioning similar to that currently required under Hawaii law for wind energy facilities, including decommissioning at owner expense, facility removal within twelve months of the conclusion of operations or the facility's useful life, and restoration of the disturbed earth to substantially the same condition as prior to facility development.

Your Committees have also made technical, nonsubstantive amendments for clarity, consistency, and style.

     As affirmed by the records of votes of the members of your Committees on Energy & Environmental Protection and Water & Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2658, S.D. 3, H.D. 1, as amended herein, and recommend that it pass Third Reading in the form attached hereto as S.B. No. 2658, S.D. 3, H.D. 2.

Respectfully submitted on behalf of the members of the Committees on Energy & Environmental Protection and Water & Land,

____________________________ CINDY EVANS, Chair

____________________________ CHRIS LEE, Chair