STAND. COM. REP. NO.  1000-12

Honolulu, Hawaii

                , 2012

RE:   S.B. No. 2785

      S.D. 2

      H.D. 1

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Sixth State Legislature

Regular Session of 2012

State of Hawaii

Sir:

     Your Committees on Water, Land, & Ocean Resources and Energy & Environmental Protection, to which was referred S.B. No. 2785, S.D. 2, entitled:

"A BILL FOR AN ACT RELATING TO INTERISLAND ELECTRIC TRANSMISSION CABLE SYSTEMS,"

beg leave to report as follows:

The purpose of this measure is to establish the regulatory framework for the development, financing, and use of a high-voltage undersea electric transmission cable system that will permit the transmission of power generated on one or more islands to an electric utility system located on another island of the State.

The Governor; the Public Utilities Commission; the Department of Business, Economic Development, and Tourism; the Department of Commerce and Consumer Affairs; the Office of the Mayor of the County of Maui; the Building Industry Association of Hawaii; the Chamber of Commerce of Hawaii; the General Contractors Association of Hawaii; NextEra Energy Transmission, LLC; First Wind; the Hawaii Farm Bureau Federation; Hawaii Labor-Employers Cooperation and Education Trust; the Hawaii Carpenters Union; the International Longshore Warehouse Union Local 142; the Laborer's International Union of North America, Local 368; and several individuals supported this measure.
     The Office of the Mayor of the City and County of Honolulu; the Pacific Resource Partnership; and the Land Use Research Foundation of Hawaii supported the intent of this measure.  Hawaii Interisland Cable, LLC and Windward Ahupuaa Alliance supported this measure with amendments.  The Kuliouou/ Kalani Iki Neighborhood Board No. 2, Hawaii's Thousand Friends, Life of the Land, and numerous individuals opposed this measure.  Hawaiian Electric Company and its subsidiary utilities, Maui Electric Company and Hawaii Electric Light Company; I Aloha Molokai; and a few individuals commented on this measure.

     Your Committees have amended this measure by:

     (1)  Specifying that nothing in this measure is intended to require the construction of an interisland cable from any particular island; and

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

     As affirmed by the records of votes of the members of your Committees on Water, Land, & Ocean Resources and Energy & Environmental Protection that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2785, S.D. 2, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2785, S.D. 2, H.D. 1, and be referred to the Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committees on Water, Land, & Ocean Resources and Energy & Environmental Protection,

____________________________ DENNY COFFMAN, Chair

____________________________ JERRY L. CHANG, Chair