STAND. COM. REP. NO. 3565

Honolulu, Hawaii

RE: S.R. No. 147

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Energy, Economic Development, and Tourism, to which was referred S.R. No. 147 entitled:

"SENATE RESOLUTION REQUESTING THE DEPARTMENT OF BUSINESS, ECONOMIC DEVELOPMENT, AND TOURISM TO PROPOSE LEGISLATION THAT ESTABLISHES TAX CREDITS FOR FIRM RENEWABLE ELECTRICITY GENERATION,"

begs leave to report as follows:

The purpose and intent of this measure is to request the Department of Business, Economic Development, and Tourism to propose legislation that establishes tax credits for firm renewable electricity generation.

Your Committee received testimony in support of this measure from Hawaiian Electric and International Brotherhood of Electrical Workers Local Union 1260.

Your Committee received comments on this measure from the Hawaii State Energy Office.

Your Committee finds that the achievement of the State's one hundred percent Renewable Portfolio Standard by 2045 is highly reliant on firm renewable energy generation and the State must continue to support utility-scale renewable energy projects that benefit residents and ratepayers. Your Committee further finds that the State must provide certainty and clarity for firm renewable generation projects to ensure their stability and long-term financial viability. This measure, through proposed legislation from the Department of Business, Economic Development, and Tourism, will provide firm renewable energy technologies the same opportunities, in the form of incentives, that are available for other renewable energy technologies to successfully progress the State towards a one hundred percent Renewable Portfolio Standard.

Your Committee has amended this measure by:

(1) Clarifying that the Department of Business, Economic Development, and Tourism is requested to propose legislation that establishes incentives, rather than tax credits, for firm renewable electricity generation;

(2) Amending its title to reflect its amended purpose; and

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

As affirmed by the record of votes of the members of your Committee on Energy, Economic Development, and Tourism that is attached to this report, your Committee concurs with the intent and purpose of S.R. No. 147, as amended herein, and recommends its adoption in the form attached hereto as S.R. No. 147, S.D. 1.

Respectfully submitted on behalf of the members of the Committee on Energy, Economic Development, and Tourism,

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LYNN DECOITE, Chair