STAND. COM. REP. NO. 940

Honolulu, Hawaii

RE: S.B. No. 589

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Ways and Means, to which was referred S.B. No. 589, S.D. 1, entitled:

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

begs leave to report as follows:

The purpose and intent of this measure is to increase the availability, affordability, and production of renewable energy.

More specifically, the measure:

(1) Authorizes the retail wheeling of renewable energy;

(2) Requires the Public Utilities Commission to establish policies and procedures to implement retail wheeling and microgrid service tariffs; and

(3) Requires the Public Utilities Commission to establish grid service compensation values that fairly compensate system owners.

Your Committee received written comments in support of this measure from the Hawaii Green Infrastructure Authority; Sunrun Inc.; Solaray Corporation; Hawaii Solar Energy Association; Grand Solar Inc.; Solar Services Hawaii; Green Power Projects LLC; Photonworks Engineering; Malama Solar; Enphase Energy, Inc.; Credence Projects LLC; LegaSea Energy; Hawaii Energy Connection; Alternate Energy Inc.; and numerous individuals.

Your Committee received written comments in opposition to this measure from the International Brotherhood of Electrical Workers Local Union 1260, Hawaiian Electric, and Ulupono Initiative.

Your Committee received written comments on this measure from the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs and Public Utilities Commission.

Your Committee finds that the programs and policies supported by this measure will help the State meet its renewable energy goals by increasing access to affordable energy, stabilizing grid costs, and driving economic growth and job creation.

As affirmed by the record of votes of the members of your Committee on Ways and Means that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 589, S.D. 1, and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Ways and Means,

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DONOVAN M. DELA CRUZ, Chair