STAND. COM. REP. NO. 2608

Honolulu, Hawaii

RE: S.B. No. 2499

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committees on Energy, Economic Development, and Tourism, Agriculture and Environment, and Water and Land, to which was referred S.B. No. 2499 entitled:

"A BILL FOR AN ACT RELATING TO A PROGRAM TO CHARACTERIZE CARBON SEQUESTRATION POTENTIAL AND UNDERGROUND WATER RESOURCES STATEWIDE,"

beg leave to report as follows:

The purpose and intent of this measure is to:

(1) Require the Hawaii State Energy Office (HSEO) to implement a Slim-Hole Resource Characterization Program that identifies the location and characteristics of underground water and carbon sequestration resources across the State under the direction of the Hawaii Groundwater and Geothermal Resources Center at the University of Hawaii;

(2) Require HSEO to prepare an environmental assessment or, if required, an environmental impact statement for the program;

(3) Require HSEO to engage with the counties and nearby communities to understand community needs, priorities, and concerns relating to the program before and during the environmental assessment and the program;

(4) Require a progress report to the Legislature; and

(5) Make appropriations to the HSEO for the implementation of the slim-hole resource characterization program.

Your Committees received testimony in support of this measure from the Hawaii State Energy Office, Ulupono Initiative LLC, Sustainable Energy Hawaiʻi, Climate Protectors Hawaii, and four individuals.

Your Committees received testimony in opposition to this measure from two individuals.

Your Committees find that a better understanding of underground water resources and carbon sequestration potential across the State can have multiple benefits to agriculture, clean energy, and land use. Your Committees also find that resource characterization through slim-hole bores of certain sizes and depths can identify water and carbon sequestration resources across the state. A statewide environmental assessment of a slim-hole exploration program, along with robust and continued community engagement, will help identify the most appropriate locations for this scientific activity.

Your Committees have amended this measure by 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, Economic Development, and Tourism, Agriculture and Environment, and Water and Land that are attached to this report, your Committees are in accord with the intent and purpose of S.B. No. 2499, as amended herein, and recommend that it pass Second Reading in the form attached hereto as S.B. No. 2499, 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, Economic Development, and Tourism, Agriculture and Environment, and Water and Land,

________________________________ MIKE GABBARD, Chair	________________________________ LYNN DECOITE, Chair
	________________________________ LORRAINE R. INOUYE, Chair