STAND. COM. REP. NO. 10

Honolulu, Hawaii

, 2021

RE: H.B. No. 906

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii

Sir:

Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 906 entitled:

"A BILL FOR AN ACT RELATING TO ENERGY ASSURANCE,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Address deficiencies in Hawaii's fuel shortage response and energy emergency statutes;

(2) Provide policy guidance on energy resiliency and actual or potential energy supply disruptions or shortages to preserve the State's energy resiliency and security and to ensure that fuel products and energy resources are made available to emergency services and the public in an orderly, efficient, and safe manner; and

(3) Clarify the powers of the Governor and Chief Energy Officer in an energy shortage or state of emergency.

Your Committee received testimony in support of this measure from the Department of Business, Economic Development, and Tourism; and Hawaii State Energy Office. Your Committee received comments on this measure from the Civil Beat Law Center for the Public Interest and Hawai‘i Gas.

Your Committee finds that a comprehensive approach is needed to address major deficiencies in outdated state statutes related to procurement, control, distribution, and sale of fuel products in response to a fuel shortage or energy emergency. This measure enables the State to address various needs to secure a more resilient energy ecosystem, such as better identifying the potential impacts from different types of energy disruptions, assessing the impacts of potential and actual energy disruptions, and developing comprehensive resiliency and response plans to ensure a more rapid response after an emergency, disruption, or disaster.

Your Committee has amended this measure by:

(1) Deleting provisions that would have provided the Chief Energy Officer of the Hawaii State Energy Office with certain powers relating to energy assurance and fuel security;

(2) Changing the effective date to July 1, 2050, to encourage further discussion; and

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

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. 906, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 906, 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