STAND. COM. REP. NO. 2549

Honolulu, Hawaii

RE: S.B. No. 3163

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2022

State of Hawaii

Sir:

Your Committees on Energy, Economic Development, and Tourism and Agriculture and Environment, to which was referred S.B. No. 3163 entitled:

"A BILL FOR AN ACT RELATING TO THE STATE ENERGY OFFICE,"

beg leave to report as follows:

The purpose and intent of this measure is to direct the Hawaii State Energy Office to develop and submit a plan to the Legislature no later than forty days prior to the convening of the Regular Session of 2023 for the construction of at least one atmospheric carbon capture plant in the State by 2030.

Your Committees received testimony in support of this measure from the Hawaii State Energy Office and one individual.

Your Committees find that to combat climate change, the State must, in addition to increasing the use of renewable energy, employ other carbon offsetting strategies and technologies. According to the testimony from the Hawaii State Energy Office, developing a space for at least one atmospheric carbon capture plant in the State would require a long-range strategy and additional time. Your Committees note that the Hawaii Natural Energy Institute has the expertise and resources to spearhead the development of a strategy to construct at least one atmospheric carbon capture plant in the State by 2030.

Accordingly, your Committees have amended this measure by:

(1) Changing all references to a plan for the construction of an atmospheric carbon capture plant to a strategy for the same;

(2) Designating, instead, the Hawaii Natural Energy Institute, in conjunction with the Hawaii State Energy Office, to develop and submit the strategy for the construction of at least one atmospheric carbon capture plant in the State by 2030;

(3) Extending the deadline for the Hawaii Natural Energy Institute to submit its strategy for the construction of at least one atmospheric carbon capture plant to the Legislature no later than forty days prior to the convening of the Regular Session of 2024;

(4) Inserting language that requires an interim report to be submitted to the Legislature no later than twenty days prior to the convening of the Regular Session of 2023; and

(5) 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 Agriculture and Environment that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 3163, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 3163, 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 Agriculture and Environment,

________________________________ MIKE GABBARD, Chair

________________________________ GLENN WAKAI, Chair