HB1580 HD1.DOC

SECTION 1. The legislature finds that Hawaii's dependence on imported fossil fuels drains the state economy of billions of dollars each year. The volatility of imported fuel prices creates significant risks for the economy and adds to costs for local families. The legislature further finds that the use of fossil fuel reduces air quality and leads to increased greenhouse gas emissions in the atmosphere. This contributes to climate change, which poses a serious threat to Hawaii's economic well-being, public health, natural resources, and environment. Climate change harms marine ecosystems and causes sea levels to rise, which results in the displacement of coastal residences and businesses. Climate change also poses a serious threat to public health by increasing the incidences of infectious diseases, asthma, and other health-related problems.

The legislature notes that on a per-mile basis, it is significantly less expensive to commute in an electric vehicle than it is to commute in a gas-powered automobile. Residents can lower their cost of living by relying on local renewable energy for transportation and transitioning to less-expensive renewable vehicles and transportation systems. The legislature further finds that autonomous electric vehicles already operating on public roads in cities around the country signal an approaching revolution in transportation that has the potential to dramatically reduce costs for consumers and change the way people commute. However, in order for local consumers and families to benefit from these changes and properly transition away from expensive fossil fuel vehicles, Hawaii must be prepared with critical infrastructure elements, such as electric vehicle charging stations.

The purpose of this Act is to begin the transition to 100 per cent clean ground transportation in Hawaii by:

(1) Establishing a clean ground transportation benchmark framework, including a near term 2025 target supporting Hawaii’s goal for the reduction and ultimate elimination of the use of imported fuels for ground transportation; and

(2) Directing the department of transportation to collaborate with the state energy office to identify a plan and develop recommendations to support the achievement of benchmarks leading to the ultimate elimination of imported fuels for ground transportation.

SECTION 2. Chapter 264, Hawaii Revised Statutes, is amended by adding a new section to part I to be appropriately designated and to read as follows:

"§264- Hawaii clean ground transportation initiative. (a) The department of transportation, in collaboration with the state energy office of the department of business, economic development, and tourism, shall:

(1) Identify a plan to make progress toward the one hundred per cent clean ground transportation goals identified in section 196-10.5(a)(8);

(2) Develop recommendations regarding the additional steps necessary to help achieve the goals of this section; and

(3) Convene stakeholders in a clean ground transportation forum to solicit and incorporate input on the department of transportation's clean ground transportation activities to help achieve the goals of this section.

(b) In its annual report submitted to the legislature pursuant to part II of Act 100, Session Laws of Hawaii 1999, the department of transportation shall include recommendations as developed pursuant to this section.

(c) For purposes of this section, "clean ground transportation" means ground transportation that avoids fossil fuel consumption.

(d) The clean ground transportation forum established by the department in this section shall not be subject to chapter 92."

SECTION 3. Section 196-10.5, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) There is established within the department of business, economic development, and tourism, a Hawaii clean energy initiative program to manage the State's transition to a clean energy economy. The clean energy program shall design, implement, and administer activities that include:

(1) Strategic partnerships for the research, development, testing, deployment, and permitting of clean and renewable technologies;

(2) Engineering and economic evaluations of Hawaii's potential for near-term project opportunities for the State's renewable energy resources;

(3) Electric grid reliability and security projects that will enable the integration of a substantial increase of electricity from renewable-energy resources;

(4) A statewide clean energy public education and outreach plan to be developed in coordination with Hawaii's institutions of public education;

(5) Promotion of Hawaii's clean and renewable resources to potential partners and investors;

(6) A plan, to be implemented from 2011 to [~~2030,~~] 2045, to transition the State to a clean energy economy; [~~and~~]

(7) A plan, to be implemented from 2011 to [~~2030,~~] 2045, to assist each county in transitioning to a clean energy economy[.]; and

(8) A plan, to be implemented between 2017 and 2025 to achieve a reduction of five per cent in fossil fuel for ground transportation relative to 2016 levels and shall include metrics to measure and evaluate progress towards the target fossil fuel reductions in ground transportation, to be established by the state energy office; provided that two years prior to the completion of the plan and every five years thereafter, a report shall be submitted to the legislature that includes:

(A) Progress towards the established target benchmarks;

(B) Proposals for legislative actions to support the achievement of the next fossil fuel reduction in transportation benchmark; and

(C) A new target benchmark for the reduction of fossil fuels in ground transportation for five years from the previous target."

SECTION 4. Section 226-17, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Planning for the State's facility systems with regard to transportation shall be directed towards the achievement of the following objectives:

(1) An integrated multi-modal transportation system that services statewide needs and promotes the efficient, economical, safe, and convenient movement of people and goods[.];

(2) A statewide transportation system that is consistent with and will accommodate planned growth objectives throughout the State[.]; and

(3) Increased energy security and self-sufficiency through the reduction and ultimate elimination of imported fuels for ground transportation, in accordance with benchmarks established pursuant to section 196-10.5(a)(8)."

SECTION 5. Section 226-18, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

"(a) Planning for the State's facility systems with regard to energy shall be directed toward the achievement of the following objectives, giving due consideration to all:

(1) Dependable, efficient, and economical statewide energy systems capable of supporting the needs of the people;

(2) Increased energy security and self-sufficiency through the reduction and ultimate elimination of Hawaii's dependence on imported fuels for electrical generation [~~and ground transportation~~] in accordance with the ground transportation benchmarks established pursuant to section 196-10.5(a)(8);

(3) Greater diversification of energy generation in the face of threats to Hawaii's energy supplies and systems;

(4) Reduction, avoidance, or sequestration of greenhouse gas emissions from energy supply and use; and

(5) Utility models that make the social and financial interests of Hawaii's utility customers a priority."

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 2017; provided that section 2 shall be repealed on January 31, 2046.

HOUSE OF REPRESENTATIVES	H.B. NO.	1580
TWENTY-NINTH LEGISLATURE, 2017		H.D. 1
STATE OF HAWAII