STAND. COM. REP. NO. 1262

Honolulu, Hawaii

RE: H.B. No. 855

H.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2019

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.B. No. 855, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO CLEAN ENERGY FINANCING,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Transfer the administration of the building energy efficiency revolving loan fund to the Hawaii Green Infrastructure Authority;

(2) Expand the purpose of the building energy efficiency revolving loan fund to include a broader range of clean energy technologies and rename it as the clean energy revolving loan fund; and

(3) Make an appropriation out of the clean energy revolving loan fund to make clean energy investment loans or for other approved uses.

Your Committee received testimony in support of this measure from the Hawaii Green Infrastructure Authority, Blue Planet Foundation, Hawaii Reef and Ocean Coalition, O‘ahu County Committee on Legislative Priorities of the Democratic Party of Hawai‘i, Organizing for Action, 350Hawaii, and three individuals. Your Committee received comments on this measure from the State Procurement Office.

Your Committee finds that investing in Hawaii's evolving energy market and providing affordable energy options for Hawaii's ratepayers will be necessary to achieve the State's energy goals. However, a significant barrier to clean energy adoption has been the availability of flexible financing and low-cost capital. Building Hawaii's clean energy infrastructure at the lowest possible cost is vital to reach the State's goal of one hundred percent clean energy by 2045. Your Committee also finds that a variety of financing options must be available to support Hawaii's clean energy investment and serve all of Hawaii's ratepaying customers. This measure will repurpose the building energy efficiency revolving fund to accelerate the adoption of renewable energy and energy efficiency and help businesses and families who are currently underserved by existing market-based clean energy solutions.

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 855, H.D. 1, and recommends that it pass Second Reading and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Energy, Economic Development, and Tourism,

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GLENN WAKAI, Chair