STAND. COM. REP. NO. 1476

Honolulu, Hawaii

, 2025

RE: S.B. No. 1220

S.D. 2

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Madame:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 1220, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO RENEWABLE GAS TARIFF,"

begs leave to report as follows:

The purpose of this measure is to require:

(1) Gas utility companies to submit proposed renewable gas tariffs to the Public Utilities Commission by August 31, 2025; and

(2) The Public Utilities Commission to establish an initial or revised renewable gas tariff or tariffs no later than nine months after the filing of a completed application for a proposed renewable gas tariff if the Public Utilities Commission finds that the tariff meets certain conditions and standards.

Your Committee received testimony in support of this measure from the Makakilo/Kapolei/Honokai Hale Neighborhood Board No. 34; Ulupono Initiative; Hawaiʻi Gas; Simonpietri Enterprises LLC; Hawaiʻi Restaurant Association; Coalition for Renewable Natural Gas; Kapolei Chamber of Commerce; and Land Use Research Foundation of Hawaii. Your Committee received comments on this measure from the Department of Commerce and Consumer Affairs and Public Utilities Commission.

Your Committee finds that environmentally conscious customers are seeking the option to purchase renewable gas through a renewable gas tariff. However, the existing regulations require a general rate case to create a renewable gas tariff, a process costing $2,000,000 to $3,000,000 and taking an average of two years. This measure accelerates the process for timely approval.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1220, S.D. 2, H.D. 1, and recommends that it be referred to your Committee on Finance.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

SCOT Z. MATAYOSHI, Chair