STAND. COM. REP. NO. 80-26

Honolulu, Hawaii

, 2026

RE: H.B. No. 1567

H.D. 1

Honorable Nadine K. Nakamura

Speaker, House of Representatives

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Madame:

Your Committee on Energy & Environmental Protection, to which was referred H.B. No. 1567 entitled:

"A BILL FOR AN ACT RELATING TO ENERGY EQUITY,"

begs leave to report as follows:

The purpose of this measure is to require:

(1) The Public Utilities Commission to:

(A) Establish residential electricity rate structures that prioritize affordability and equity;

(B) Establish a lifeline baseline performance standard, a medically essential needs energy program, and a new tariff; and

(C) Convene a stakeholder process for developing and implementing this measure; and

(2) Electric utilities to file revised tariffs no later than twelve months after the Public Utilities Commission has issued a final decision and order under this measure.

Your Committee received testimony in support of this measure from the Public Utilities Commission; Kupuna for the Moopuna; Free Access Coalition; Sierra Club of Hawaiʻi; and numerous individuals. Your Committee received testimony in opposition to this measure from Kauaʻi Island Utility Cooperative. Your Committee received comments on this measure from the Department of Commerce and Consumer Affairs.

Your Committee finds that Hawaii's high electricity costs create disproportionately high financial burdens for low‑income households and medically fragile residents, contributing to adverse health outcomes and increased risk during heat and climate‑driven emergencies. Your Committee further finds that the State has a duty to ensure equitable access to electricity and protect vulnerable populations from potential disruptions. This measure seeks to establish initiatives that would address these concerns.

Your Committee has amended this measure by:

(1) Removing the requirement that the Public Utilities Commission establish certain rate structures and tariffs and convene a stakeholder process;

(2) Allowing, rather than requiring, the Public Utilities Commission to establish a lifeline baseline performance standard and medically essential needs energy program and amending the objectives of the standard and program;

(3) Removing the requirement that each electric utility file revised residential tariffs;

(4) Changing the effective date to July 1, 3000, to encourage further discussion; and

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

As affirmed by the record of votes of the members of your Committee on Energy & Environmental Protection that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1567, as amended herein, and recommends that it pass Second Reading in the form attached hereto as H.B. No. 1567, H.D. 1, and be referred to your Committee on Consumer Protection & Commerce.

Respectfully submitted on behalf of the members of the Committee on Energy & Environmental Protection,

____________________________

NICOLE E. LOWEN, Chair