STAND. COM. REP. NO.  223

Honolulu, Hawaii

                , 2017

RE:   H.B. No. 1593

      H.D. 1

Honorable Joseph M. Souki

Speaker, House of Representatives

Twenty-Ninth State Legislature

Regular Session of 2017

State of Hawaii

Sir:

     Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 1593 entitled:

"A BILL FOR AN ACT RELATING TO GREEN INFRASTRUCTURE,"

begs leave to report as follows:

The purpose of this measure is to:

(1)  Reduce some of the oversight of the Green Infrastructure Loan Program to encourage more rapid deployment of loans in furtherance of the intent of the program; and

(2)  Directly assist Hawaii's underserved residents by using dormant funds from the Hawaii Green Infrastructure Loan Program to create the Clean Energy Savings Jump Start Program, with the intent of rapidly deploying funds to assist disadvantaged communities with investments in clean energy and energy efficiency.

Distributed Energy Resources Council of Hawaii, Alliance for Solar Choice, Hawaii Solar Energy Association, Young Progressives Demanding Action Hawaii, Sierra Club of Hawaii and many individuals testified in support of this measure.  The Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, Life of the Land, and Ulupono Initiative testified in opposition to this measure.  The Department of Budget and Finance, State Procurement Office, Public Utilities Commission, Hawaii Green Infrastructure Authority (the Authority), Amber Kinetics, Blue Planet Foundation, and Air-Conditioning, Heating, and Refrigeration Institute submitted comments.

     Your Committee has amended this measure by:

     (1)  Adopting the following recommendations from the Authority:

          (A)  Clarifying that the Authority, in collaboration with others, is required to expend moneys on rebate and other programs that rapidly advance state goals of clean energy and energy efficiency;

          (B)  Finding and declaring that the benefits of the Jump Start Program are in the public interest and for the public health, safety, and welfare;

          (C)  Considering all household members to determine the combined household income when calculating the appropriate rebate amount;

          (D)  Clarifying the definition of "eligible energy storage system" to mean any identifiable facility, equipment, or apparatus that is connected to an electric utility grid, unless the electric utility has proposed interconnection fees of 10 percent or greater of the purchase price of the energy storage system;

          (E)  Clarifying that the appropriation from the Hawaii Green Infrastructure Special Fund, or any other eligible funds procured by the Authority are to be deposited into the Clean Energy Savings Jump Start Fund; and

          (F ) Clarifying that the funds from the Clean Energy Savings Jump Start Program Fund are to be allocated for the Energy Storage System Rebate Program;

     (2)  Amending the effective date to take effect on January 28, 2081; and

     (3)  Making technical, nonsubstantive amendments to conform with standard drafting conventions.

     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 is in accord with the intent and purpose of H.B. No. 1593, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1593, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

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

____________________________

CHRIS LEE, Chair