STAND. COM. REP. NO. 3239

Honolulu, Hawaii

RE: H.B. No. 2089

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred H.B. No. 2089, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO RENEWABLE PORTFOLIO STANDARDS,"

begs leave to report as follows:

The purpose and intent of this measure is to:

(1) Amend the definition of "renewable portfolio standard" to be a percentage of electrical energy generation, rather than sales, excluding customer-sited fossil fuel generation;

(2) Expand the events or circumstances that are beyond an electric utility company's reasonable control to include non-renewable energy generated by electric generation facilities over or of which the electric utility does not have direct control or ownership; and

(3) Require electric utility companies to track and annually report data and trends regarding customer retention or attrition.

Your Committee received testimony in support of this measure from the Department of Business, Economic Development, and Tourism; Department of Transportation; Department of Commerce and Consumer Affairs' Division of Consumer Advocacy; Hawaii State Energy Office; Public Utilities Commission; 350Hawaii.org; Environmental Caucus of the Democratic Party of Hawai‘i; Energy and Climate Action Committee of the Environmental Caucus of the Democratic Party of Hawai‘i; Ulupono Initiative; Hawaiian Electric Company, Inc.; Blue Planet Foundation; Climate Protectors Hawai‘i; and one individual.

Your Committee finds that amending the renewable portfolio standard calculation from the present calculation of the amount of renewable electrical energy sales divided by total amount of energy sales, to the amended calculation of the amount of renewable electrical energy generated divided by the total amount of electrical energy generated, more accurately reflects the intent of the State's clean energy economy goals. According to testimony from the Department of Commerce and Consumer Affairs' Division of Consumer Advocacy, it may be more appropriate to place the language requiring electrical utility companies to report data and trends on customer retention and attrition under another section in the Hawaii Revised Statutes.

Accordingly, your Committee has amended this measure by:

(1) Creating a new section in the Hawaii Revised Statutes establishing the requirement of electric utility companies to track and annually report data and trends on customer retention and attrition; and

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

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. 2089, H.D. 1, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 2089, H.D. 1, S.D. 1, and be referred to your Committee on Commerce and Consumer Protection.

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

________________________________

GLENN WAKAI, Chair