STAND. COM. REP. NO. 34

Honolulu, Hawaii

, 2019

RE: H.B. No. 298

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 298 entitled:

"A BILL FOR AN ACT RELATING TO INTRA-GOVERNMENTAL WHEELING,"

begs leave to report as follows:

The purpose of this measure is to expedite the implementation of intra-governmental wheeling by authorizing government agencies to wheel electricity that is produced by their own facilities from renewable energy resources, subject to disallowance by the Public Utilities Commission.

The Department of Environmental Services of the City and County of Honolulu, Tawhiri Power LLC, 350Hawaii.org, Organizing for Action, Blue Planet Foundation, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawaii, and several individuals supported this measure. Hawaiian Electric Company, Maui Electric Company, and Hawai‘i Electric Light Company, Inc. opposed this measure. The Public Utilities Commission, Department of Commerce and Consumer Affairs, and Life of the Land provided comments.

Your Committee has amended this measure by:

(1) Inserting language designating the Natural Energy Laboratory of Hawaii Authority as a microgrid demonstration project;

(2) Authorizing the Public Utilities Commission to consider allowing wheeling within the boundaries of the Hawaii Ocean Science and Technology Park; and

(3) Changing its effective date to July 1, 2100, to encourage further discussion.

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. 298, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 298, 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,

____________________________

NICOLE E. LOWEN, Chair