STAND. COM. REP. NO. 2439

Honolulu, Hawaii

RE: S.B. No. 3001

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Twenty-Ninth State Legislature

Regular Session of 2018

State of Hawaii

Sir:

Your Committee on Transportation and Energy, to which was referred S.B. No. 3001 entitled:

"A BILL FOR AN ACT RELATING TO ENERGY,"

begs leave to report as follows:

The purpose and intent of this measure is to establish an alternative research and development pilot program to promote the research and development of alternative energy in Hawaii by providing matching grants to businesses that meet certain criteria and appropriates monies for the grants.

Your Committee received testimony in support of this measure from the Chamber of Commerce Hawaii; Navatek; Makai Ocean Engineering, Inc.; Hawaii Technology Development Corporation; and six individuals. Your Committee received comments on this measure from the Department of Budget and Finance.

Your Committee finds that alternative energy and energy efficiency technologies are important components of Hawaii's goal of one hundred percent clean energy by 2045, and providing grants will promote the research and development of alternative energy. Additionally, this measure will promote technology and innovation jobs, creating economic growth and helping the State's tech industry compete and win more federal funds for technology development. Your Committee noted that one year might not be sufficient time to support businesses conducting research and development in alternative energy, even as a pilot program.

Thus, your Committee has amended this measure by extending the end date for the pilot program and the revolving funds that provide funding for the pilot program's grants from June 30, 2019, to June 30, 2020.

As affirmed by the record of votes of the members of your Committee on Transportation and Energy that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 3001, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 3001, S.D. 1, and be referred to your Committee on Ways and Means.

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

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LORRAINE R. INOUYE, Chair