SCR166 SD1

WHEREAS, the State must ensure that any consideration of importing natural gas into Hawaii is conducted in a manner that protects ratepayers, advances clean energy goals, and safeguards long-term economic and environmental interests; and

WHEREAS, proponents of natural gas have asserted that its use would reduce electricity costs and greenhouse gas emissions relative to imported petroleum; and

WHEREAS, sufficient, transparent, and verifiable evidence has not been provided to substantiate these claims; and

WHEREAS, long-term investments in natural gas infrastructure may expose ratepayers to significant financial risks, including stranded asset costs, fuel price volatility, and long-term contractual obligations that could inflate electricity costs; and

WHEREAS, any investment in energy infrastructure for the State is a generational commitment; and

WHEREAS, the Public Utilities Commission is mandated by law to consider increased renewable energy generation to reduce the State's fossil fuel reliance. However, proposals that contemplate transitioning to a new renewable fuel supply that is not yet fully market-ready, lacks demonstrated long-term price stability, or depends on uncertain global supply chains may expose Hawaii ratepayers to heightened cost risks and implementation uncertainties; and

WHEREAS, the Public Utilities Commission has statutory authority to favorably consider costs related to renewable energy as an alternative to fossil fuels. Nevertheless, the introduction of a renewable fuel supply at prices materially higher than existing or readily available alternatives could result in significant and immediate rate increases, creating rate shock for households and businesses already facing high energy costs, which may disproportionately impact low- and moderate-income households and small businesses, exacerbating economic inequities and undermining public confidence in the State's energy transition; and

WHEREAS, even if such a transition were focused on one island, it may have significant secondary impacts statewide as the displacement of locally refined petroleum products could reduce or eliminate in-state refining capacity, leading to increased reliance on imported finished fuels overall and disproportionate economic burdens on neighbor island communities that already face elevated fuel and shipping expenses; and

WHEREAS, Hawaii has established a statutory mandate to achieve one hundred percent renewable portfolio standards by 2045. However, if compliance with the renewable portfolio standards requires reliance on costly or not-yet-commercially viable fuel pathways, the resulting rate impacts may create pressure to delay, weaken, or otherwise modify the State's statutory renewable portfolio standards. Such pressure may be amplified by stakeholders with existing or prospective investments in fossil fuel infrastructure who may advocate for extending the use of fossil fuels or revising the 2045 renewable portfolio standard to protect those investments; and

WHEREAS, substantial new investment in fossil fuel infrastructure may undermine progress toward the State's one hundred percent renewable portfolio goal and divert capital, policy focus, and market signals away from the development of indigenous, renewable energy sources. Any weakening, delay, or rollback of the State's renewable portfolio standards would undermine long-term energy affordability, environmental protection, and energy independence goals, while increasing exposure to volatile global fossil fuel markets; and

WHEREAS, it is therefore in the State's interest to ensure that near-term fuel decisions do not create economic or political conditions that could jeopardize achievement of the 2045 renewable portfolio standard; now, therefore,

BE IT RESOLVED by the Senate of the Thirty-third Legislature of the State of Hawaii, Regular Session of 2026, the House of Representatives concurring, that in making any determination relating to a generational energy commitment for the State, the Public Utilities Commission is requested to:

(1) Exercise sound and independent judgment;

(2) Carefully consider all relevant information when balancing short-term energy needs and the State’s long-term energy commitments;

(3) Use evidenced-based decision-making; and

(4) Ensure transparency in the decision-making process; and

BE IT FURTHER RESOLVED that the Public Utilities Commission is requested to devalue any proposal involving liquefied natural gas that may increase the likelihood of efforts to delay, weaken, or otherwise modify the State's statutory renewable portfolio standards, including the 2045 deadline; and

BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the Director of Commerce and Consumer Affairs, Executive Director of the Division of Consumer Advocacy of the Department of Commerce and Consumer Affairs, Chief Energy Officer of the Hawaii State Energy Office, Chairperson of the Public Utilities Commission, and President and Chief Executive Officer of Hawaiian Electric.

THE SENATE	S.C.R. NO.	166
THIRTY-THIRD LEGISLATURE, 2026		S.D. 1
STATE OF HAWAII