STAND. COM. REP. NO. 2759

Honolulu, Hawaii

RE: S.B. No. 3028

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirtieth State Legislature

Regular Session of 2020

State of Hawaii

Sir:

Your Committees on Energy, Economic Development, and Tourism and Transportation, to which was referred S.B. No. 3028 entitled:

"A BILL FOR AN ACT RELATING TO GREENHOUSE GAS EMISSIONS REDUCTION,"

beg leave to report as follows:

The purpose and intent of this measure is to require the Hawaii State Energy Office to provide recommendations for a comprehensive approach to the development of electric vehicle infrastructure.

Your Committees received testimony in support of this measure from the Department of Commerce and Consumer Affairs; Hawaii State Energy Office; Hawaii Climate Change Mitigation and Adaptation Commission; State Procurement Office; Hawaii Electric Company, Inc.; Ulupono Initiative; and 350Hawaii. Your Committees received comments on this measure from Tesla and Life of the Land.

Your Committees find that the use of fossil fuels in the State is the primary contributor to greenhouse gas emissions in the atmosphere, which poses a serious threat to Hawaii's economic well-being, public health, infrastructure, and environment. Hawaii's dependence on fossil fuels drains the economy of billions of dollars each year, which makes residents vulnerable to the volatility of oil prices. To address the increasing emission of greenhouse gasses in the State, more residents are purchasing electric vehicles as a cost-effective alternative to fossil fuel powered vehicles in the State. The State must be equipped with necessary infrastructure that can support electric vehicles for Hawaii to be fully carbon neutral. This measure will prepare the State to have the necessary infrastructure to support electric vehicles by requiring the Hawaii State Energy Office to make recommendations for a comprehensive approach to the development of electric vehicle infrastructure.

Your Committees find that this measure will require the Hawaii State energy office to complete the study and submit a report to the Legislature twenty days prior to the convening of the Regular Session of 2022. Your Committees note that this deadline may not be enough time for the Hawaii State Energy Office to complete this extensive study and, therefore, recommend that the Hawaii State Energy Office make a determination on the feasibility of meeting the deadline as proposed in this measure and raise any issue regarding the deadline with your Committee on Ways and Means.

Your Committees heard testimony regarding the inclusion of various stakeholders to participate in the study so that the study can cover a broad range of opinions and make recommendations from entities with varying expertise.

Accordingly, your Committees have amended this measure by:

(1) Expanding the study to include all vehicles that are powered by renewable energy, instead of focusing only on electric vehicles;

(2) Requiring the study to take into consideration the development of filling and charging stations for vehicles that are powered by renewable energy, in addition to the repair and maintenance;

(3) Deleting language relating to electric utilities to incentivize the development of electric vehicle infrastructure;

(4) Requiring the study to evaluate incentives that encourage the development and adoption of electric vehicle infrastructure and who can best provide those incentives;

(5) Requiring the study to examine ways the State can engage with vehicle manufacturers and local car dealers;

(6) Requiring the Hawaii State Energy Office to solicit feedback from pertinent stakeholders prior to finalizing its proposed recommendations to the Legislature;

(7) Deleting language that authorized the Hawaii State Energy Office to contract services of a consultant that is exempt from procurement laws; and

(8) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.

As affirmed by the records of votes of the members of your Committees on Energy, Economic Development, and Tourism and Transportation that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3028, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3028, S.D. 1, and be referred to your Committee on Ways and Means.

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

________________________________ LORRAINE R. INOUYE, Chair

________________________________ GLENN WAKAI, Chair