STAND. COM. REP. NO. 1292-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 2518

S.D. 2

H.D. 1

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 2518, S.D. 2, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO GEOTHERMAL ENERGY EXPLORATION,"

begs leave to report as follows:

The purpose of this measure is to require and appropriate funds for the Hawaii State Energy Office to conduct a statewide environmental assessment for, and subsequently administer, a geothermal resources characterization program under the direction of the Hawaii Groundwater and Geothermal Resources Center at the University of Hawaii.

Your Committee received testimony in support of this measure from the Department of Research and Development of the County of Hawaiʻi; Ulupono Initiative; Hawaiian Electric; Chamber of Commerce Hawaii; Sustainable Energy Hawaiʻi; Blue Planet Foundation; Innovations Development Group, Inc.; Indigenous Consultants, LLC; and six individuals. Your Committee received comments on this measure from the Hawaii State Energy Office.

Your Committee finds that geothermal energy is heat that was generated during the planet's formation stored in rocks and fluids and brought as steam to the Earth's surface using deep wells. The steam drives turbines to generate electricity. Your Committee further finds that geothermal has been identified as a near-term and mid-term decarbonization opportunity for Hawaii. Geothermal energy thus has the potential to play an extremely significant role in meeting the State's energy objectives of reliability, affordability, and diversification. Because geothermal exploration and identification require significant investment of upfront capital, underlying research to confirm the viability of geothermal is needed. This measure therefore provides the Hawaii State Energy Office with the necessary authorization to explore for geothermal resources.

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. 2518, 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,

____________________________

MARK M. NAKASHIMA, Chair