STAND. COM. REP. NO. 1118

Honolulu, Hawaii

RE: H.B. No. 242

H.D. 1

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committees on Energy and Intergovernmental Affairs and Agriculture and Environment, to which was referred H.B. No. 242, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO ELECTRIC VEHICLE BATTERIES,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Establish a temporary working group within the Hawaii State Energy Office to examine how to maximize the recycling and reuse of electric vehicle batteries and recommend electric vehicle battery management practices; and

(2) Require the working group to submit a report to the Legislature no later than twenty days prior to the Regular Session of 2027.

Your Committees received testimony in support of this measure from the Department of Health, Department of Environmental Management of the County of Hawaiʻi, Servco Pacific Inc., Climate Protectors Hawaiʻi, Hawaii Electric Vehicle Association, Sierra Club of Hawaiʻi, Coalition Earth, Alliance for Automotive Innovation, Radius Recycling, Hawaii Automobile Dealers Association, and five individuals.

Your Committees received comments on this measure from the Hawaii State Energy Office, Hawaiʻi Natural Energy Institute, and one individual.

Your Committees find that the disposition of lithium ion electric vehicle batteries presents unique waste management challenges and may even exacerbate the State's current landfill crisis. Your Committees further find that the State has a responsibility to ensure that electric vehicle batteries are properly recycled or reused. The working group established in this measure will inform policymakers of the best management practices and regulatory framework for electric vehicle batteries necessary to ensure an equitable and efficient transition to a more energy resilient economy.

Your Committees have amended this measure by:

(1) Requiring the working group to submit a report to the Legislature no later than twenty-nine days prior to the Regular Session of 2026;

(2) Amending the dissolution date of the working group from June 30, 2026, to June 30, 2027; and

(3) 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 and Intergovernmental Affairs and Agriculture and Environment that are attached to this report, your Committees are in accord with the intent and purpose of H.B. No. 242, H.D. 1, as amended herein, and recommend that it pass Second Reading in the form attached hereto as H.B. No. 242, H.D. 1, 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 and Intergovernmental Affairs and Agriculture and Environment,

________________________________ MIKE GABBARD, Chair

________________________________ GLENN WAKAI, Chair