Bill Text: HI SB3282 | 2024 | Regular Session | Amended
Bill Title: Relating To Energy.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Engrossed) 2024-03-07 - Referred to EEP, CPC, FIN, referral sheet 16 [SB3282 Detail]
Download: Hawaii-2024-SB3282-Amended.html
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THE SENATE |
S.B. NO. |
3282 |
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THIRTY-SECOND LEGISLATURE, 2024 |
S.D. 2 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
RELATING TO ENERGY.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Chapter 196, Hawaii Revised Statutes, is amended by amending the title of part V to read as follows:
"[[]Part V.[] Hawaii state] energy [office] DIVISION"
SECTION 2. Section 196-71, Hawaii Revised Statutes, is amended to read as follows:
"[[]§196-71[] Hawaii state energy office;] Energy
division; established. (a)
There is established within the department of business, economic
development, and tourism the [Hawaii state energy office, which shall be
a public body politic and an instrumentality and agency of the State. The office shall be placed within the department
of business, economic development, and tourism for administrative purposes,
pursuant to section 26‑35.] energy division. The purpose of the [Hawaii state energy
office] energy division shall be to promote
energy efficiency, renewable energy, and clean transportation to help achieve a
resilient and affordable clean energy economy.
(b) The [Hawaii state energy office] energy
division shall:
(1) [Provide] Perform
analysis and [planning] research to actively develop plans
and inform policies to achieve energy efficiency, renewable energy, energy
resiliency, grid reliability, and clean transportation goals that are
established by statute or rule. The
division shall perform its work in collaboration with the legislature[,];
public utilities commission[,]; other divisions within the department
of business, economic development, and tourism;
state agencies[,]; and other relevant stakeholders;
(2) Lead efforts to incorporate energy efficiency, renewable energy, energy resiliency, and clean transportation to reduce costs or lead by demonstration, and achieve clean energy goals across all public facilities;
[(3) Provide renewable energy, energy
efficiency, energy resiliency, and clean transportation project deployment
facilitation to assist private sector project completion when aligned with
state energy goals; and]
(3) Assist private sector projects addressing
renewable energy, energy efficiency, energy resiliency, and clean
transportation that are aligned with statutorily mandated state energy goals,
ensuring completion of those projects expeditiously and in compliance with
guaranteed commercial operations dates;
(4) Engage the private sector to help lead
efforts to achieve renewable energy and clean transportation goals through the
Hawaii clean energy initiative[.] program pursuant to section
196-10.5; and
(5) Lease lands, grant licenses, and
grant easements to private renewable energy producers or producers of renewable
fuels, renewable gas, hydrogen fuels, hydrogen, or fuel cells; provided that
any lease, license, or easement shall be made through a request for proposals
or direct negotiation.
(c) The energy division may:
(1) Establish offtake agreements with
private or utility buyers of renewable energy or renewable fuels, renewable
gas, hydrogen, or fuel cells;
(2) Facilitate offtake agreements
between producers and buyers of renewable energy or renewable fuels, renewable
gas, hydrogen, or fuel cells; and
(3) Work through the public utilities
commission to establish rules for purposes of paragraphs (1) and (2), as
applicable.
[(c)]
(d) The [Hawaii state energy
office] energy division shall be the State's primary government
entity for [supporting] implementation of the Hawaii clean
energy initiative[.] program under section 196-10.5.
[(d)]
(e) No later than twenty days
prior to the convening of each regular session, the [Hawaii state energy
office] energy division shall submit a report to the legislature
that includes:
(1) A description of the activities of the
[Hawaii state energy office] energy division in response to the
directives established pursuant to subsection (b) and section 196-72(d), along
with progress in meeting [any] all of the [Hawaii] statutorily
established state energy [office] goals [established in or
pursuant to this part];
(2) Progress by the State in meeting its statutorily
mandated energy efficiency, renewable energy, and clean transportation
goals; [and]
(3) An annual updated energy plan to
achieve those goals; and
[(3)] (4) Proposed legislation[,] to
meet those goals, if any."
SECTION 3. Section 196-72, Hawaii Revised Statutes, is amended to read as follows:
"[[]§196-72[]] Chief energy [officer] administrator
of the [Hawaii state energy office;] energy division;
duties. (a) The [Hawaii state energy office] energy
division shall be led by the chief energy [officer, who shall be
nominated and, by and with the advice and consent of the senate, appointed by
the governor; provided that the term of the chief energy officer shall be
coterminous with the term of the governor.] administrator who shall be
appointed by the director of business, economic development, and tourism.
(b) The chief energy [officer] administrator
shall have:
(1) Experience, knowledge, and expertise in
policy, programs, or services related to energy efficiency, renewable energy,
clean transportation, [and] energy resiliency, and grid reliability
related activities and development; and
(2) Experience in a supervisory or administrative capacity.
(c) The chief energy [officer] administrator
shall hire staff necessary to carry out the purposes of this part. The chief energy [officer] administrator
and employees of the [Hawaii state energy office] energy division
shall be exempt from chapter 76 and shall not be considered civil service
employees but shall be entitled to any employee benefit plan normally inuring
to civil service employees.
(d) [Subject to the approval of the governor,
the] The chief energy [officer] administrator and the
energy division shall:
(1) Formulate, analyze, recommend, and
implement specific policies, strategies, and plans, in coordination with public
and private sector stakeholders, to cost-effectively and equitably achieve the
[State's] statutorily established state energy goals;
(2) Identify, track, and report key
performance measures and milestones related to the State's energy [and decarbonization]
goals;
(3) Provide technical assistance to state and county agencies and the private sector to assess and implement projects and programs related to energy conservation and efficiency, renewable energy, clean transportation, energy resiliency, and related measures;
(4) Coordinate the State's energy programs
with those of the federal government[, other territory and state
governments, the political subdivisions of the State, departments of the State,
and governments of nations with interest in common energy resources];
(5) Identify market gaps and innovation
opportunities, collaborate with stakeholders, and facilitate public‑private
partnerships to develop projects, programs, and tools to encourage private and
public exploration, research, and development of energy resources, [distributed
energy resources,] and data analytics that will support the State's energy
[and decarbonization] goals;
(6) Create and review proposed state actions
that may have a significant effect on the State's energy [and
decarbonization] goals, report to the [governor their effect on the
energy program,] legislature the effects of those actions, recommend
further actions to increase the benefit or mitigate the effects of those
actions, and perform other services as may be required;
(7) Evaluate, recommend, and participate in
the development of incentives and programs that encourage the development of
energy efficiency, renewable energy, energy resiliency, [distributed energy
resources,] and clean transportation resources;
(8) Assess and evaluate the effectiveness and continued necessity of existing energy related incentives, tax credits, and programs, and provide recommendations and proposed changes;
(9) Develop and maintain a comprehensive and systematic quantitative and qualitative capacity to analyze the status of energy resources, systems, and markets, both in-state and in other states and countries, particularly in relation to the State's economy, and to recommend, develop proposals for, and assess the effectiveness of policy and regulatory decisions, and energy emergency planning;
(10) Develop and recommend programs for, and assist public agencies in the implementation of, energy assurance and energy resilience;
(11) Support the development, evaluation, revision, and adoption of energy-related codes and standards, land use, leasing of land practices, and permitting statutes and ordinances that advance the State's energy goals;
(12) Act as the State's energy data clearinghouse by identifying, collecting, compiling, analyzing, publishing, and where possible, monetizing energy and clean transportation data and analyses;
(13) Advocate for the State's energy [and
decarbonization] goals at relevant venues and departments, including but
not limited to the public utilities commission, legislature, and division of
consumer advocacy, to ensure that state energy policies and regulations align
with the state strategic goals and are data‑driven;
(14) Support economic development, jobs,
and innovation initiatives related to and resulting from the State's renewable
energy [and distributed energy resources] experience, capabilities, and
data analyses;
(15) Facilitate the efficient, expedited [permitting
of] completion of private sector energy efficiency, renewable
energy, clean transportation, and energy resiliency projects by:
(A) Coordinating and aligning state and
county departments and agencies to support, expedite, and remove barriers to
deployment of energy initiatives and projects; [and]
(B) Identify [and], evaluate,
coordinate, eliminate, or resolve conflicting or onerous policies,
processes, and rules that unreasonably impede project development and
deployment and propose regulatory, legislative, or administrative[,]
processes, or other solutions to applicable stakeholders;
(C) Facilitate the resolution of
conflicts between state and county agencies, including engagement with other
divisions and the director of business, economic development, and tourism; and
(D) Facilitate and expedite approvals
and reviews for permits, including permits for land leases or to satisfy
environmental or archeological requirements;
(16) Identify and recommend policies to
align utility company goals and models with [those of
ratepayers, including evaluating utility models that best support] state
energy plans and goals;
(17) Develop a state energy plan that
includes:
(A) The State and the energy division's
annual goals for achievement of state energy policies;
(B) Strategies and actions for the one-,
five-, ten-, and fifteen-year forecasts for the annual achievement of state
energy policy goals;
(C) Strategies, tasks, and actions taken
by the energy division for one-, five-,
ten-, and fifteen-year forecasts for the annual achievement of state energy
policy goals;
(D) Annual reporting of the achievements
made by the State and its departments, divisions, branches, and sections;
(E) Tasks taken in efforts to achieve
state energy policy goals;
(F) Evaluation of causes, effects,
improvements, and future actions necessary to compensate for any changes to
state energy policy goals;
(G) Identification of barriers to
achievement of state energy policy goals;
(H) Identification of policies needed to
achieve state energy policy goals;
(I) Status of land acquisition and
leasing for renewable energy projects and fuels;
(J) Reporting of how the State's
departments, divisions, branches, and sections have specifically achieved or failed
to achieve goals and strategies; and
(K) Actions to assist the public and
private sectors with projects toward the achievement of the state energy policy
goals.
The
state energy plan shall be completed by December 31, 2024, and updated
annually. The state energy plan shall be
submitted to the legislature and be publicly available on the energy division's
website;
[(17)] (18) Prepare and submit an annual report on
the achievements of the energy division as to the division's duties and energy
plan and other reports as may be requested [to] by the
governor [and to] or the legislature [on the implementation of
this part;]. All reports by the
energy division shall be publicly available on the energy division's website;
[(18)] (19) Contract for services in accordance
with state procurement laws and rules when required for the implementation
of this part; and
[(19)] (20) Adopt rules, pursuant to chapter 91,
for the administration of this part."
PART II
SECTION 4. Section 196-81, Hawaii Revised Statutes, is amended by amending the definition of "chief energy officer" to read as follows:
""Chief
energy [officer"] administrator" means
the chief energy [officer] administrator of the [Hawaii state
energy office.] energy division of the department of business, economic
development, and tourism."
SECTION 5. Act 226, Session Laws of Hawaii 2023, is amended by amending sections 3 and 4 to read as follows:
"SECTION 3. (a) There is established a clean ground transportation working group within the department of transportation for administrative purposes.
(b) The working group shall:
(1) Develop metrics, benchmarks, plans, and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes;
(2) Coordinate with other groups, agencies, and programs within and outside of the State that are working to achieve zero-emissions transportation;
(3) Coordinate with the State and applicable stakeholders to pursue grants and other funding opportunities for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes;
(4) Consider reducing vehicle miles travelled and demand management; and
(5) Consider equity concerns, including economic and accessibility impacts to low-income communities.
(c) The working group shall comprise the following:
(1) The director of transportation, or the director's designee, who shall serve as co-chairperson of the working group;
(2) The chief energy [officer] administrator
of the [Hawaii state energy office,] energy division of the
department of business, economic development, and tourism, or the chief
energy [officer's] administrator's designee, who shall serve as
co-chairperson of the working group;
(3) The director of the office of planning and sustainable development, or the director's designee;
(4) The co-chairpersons of the commission, or the co-chairpersons' designees;
(5) The chairpersons of the senate and house of representatives standing committees having primary jurisdiction over transportation, or their designees;
(6) The mayor of each county, or their designees, who shall be invited by the working group to participate; and
(7) Other relevant stakeholders as recommended by the working group.
(d) The working group shall:
(1) Submit annual interim reports to the commission of the working group's activities performed, progress made, and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes, twenty days prior to the convening of each regular session from 2024 to 2034; and
(2) Submit a final report on the progress made and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2035.
(e) The working group shall cease to exist on
January 1, 2035.
SECTION 4. (a) There is established an interisland clean transportation working group within the department of transportation for administrative purposes.
(b) The working group shall:
(1) Develop metrics, benchmarks, plans, and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes;
(2) Coordinate with other groups, agencies, and programs within and outside of the State that are working to achieve zero-emissions interisland transportation;
(3) Coordinate with other groups, agencies, and programs within and outside of the State that are developing interim solutions to achieve long-haul zero-emissions transportation, which may include lower-carbon sustainable aviation fuels, hydrogen-based fuel, or other potential options;
(4) Coordinate with stakeholders to identify not less than fifteen possible transportation hubs throughout the State with at least two in each county to support innovative point-to-point or island-to-island transportation options, including options such as electric vertical takeoff and landing aircraft, electric sea gliders, and other similar forms of innovative zero-emissions technology;
(5) Develop recommendations for a coordinated package of environmental review, infrastructure planning, and other due diligence for fifteen sites throughout the State that shall enable innovative transportation operators to more easily deploy innovative options for zero-emissions transportation;
(6) Coordinate with the State and applicable stakeholders to pursue grants and other funding opportunities for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes;
(7) Consider reducing vehicle miles travelled and demand management; and
(8) Consider equity concerns, including economic and accessibility impacts to low-income communities.
(c) The working group shall comprise the following:
(1) The director of transportation, or the director's designee, who shall serve as co-chairperson of the working group;
(2) The chief energy [officer] administrator
of the [Hawaii state energy office,] energy division of the
department of business, economic development, and tourism, or the chief
energy [officer's] administrator's designee, who shall serve as
co-chairperson of the working group;
(3) The director of the office of planning and sustainable development, or the director's designee;
(4) The co-chairpersons of the commission, or the co-chairpersons' designees;
(5) The chairpersons of the senate and house of representatives standing committees having primary jurisdiction over transportation, or the chairpersons' designees;
(6) The mayor of each county, or the mayor's designees, who shall be invited by the working group to participate; and
(7) Other relevant stakeholders, as recommended by the working group.
(d) The working group shall:
(1) Submit annual interim reports to the commission of the working group's activities performed, progress made, and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes, twenty days prior to the convening of each regular session from 2024 to 2034; and
(2) Submit a final report of the progress made and recommendations for the State to achieve the goals set forth in sections 225P-5 and 225P-8(a), Hawaii Revised Statutes, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2035.
(e) The working group shall cease to exist on January 1, 2035."
SECTION 6. Sections 125C-22, 125C-23, 125C-31, 141-9, 196‑5, 196-6.5, 196-11, 196-30, 196-63, 196-83, 206M-23, 235-110.32, 286-5, 286-172, 304A-1891, 304A-1892, and 304A‑1894.1, Hawaii Revised Statutes, are amended by substituting the term "chief energy administrator" wherever the term "chief energy officer" appears, as the context requires.
SECTION
7. Sections 76-16, 107-22, 125C-22,
125C-23, 125C-31, 141-9, 196-5, 196-6.5, 196-11, 196-30, 196-32, 196-63,
201-12.8, 206M-3, 206M-23, 206M-24, 225P-8, 235-110.32, 264-20.7, 269-72,
269-74, 286-5, 286-172, 291C-6, 304A-1891, 304A-1892, 304A-1894.1, and
304A-1969, Hawaii Revised Statutes, are amended by substituting the term
"energy division" wherever the term "Hawaii state energy
office" or "state energy office" appears, as the context
requires.
SECTION 8. All rights, powers, functions, and duties of the Hawaii state energy office are transferred to the energy division of the department of business, economic development, and tourism.
All officers and employees whose functions are transferred by this Act shall be transferred with their functions and shall continue to perform their regular duties upon their transfer, subject to the personnel laws of the State and this Act.
No officer or employee of the State having tenure shall suffer any loss of salary, seniority, prior service credit, vacation, sick leave, or other employee benefit or privilege as a consequence of this Act, and each officer or employee may be transferred or appointed to a civil service position without the necessity of examination; provided that the officer or employee possesses the minimum qualifications for the position to which transferred or appointed; provided further that subsequent changes in the officer or employee's status may be made pursuant to applicable civil service and compensation laws.
An officer or employee of the State who does not have tenure and who may be transferred or appointed to a civil service position as a consequence of this Act shall become a civil service employee without loss of salary, seniority, prior service credit, vacation, sick leave, or other employee benefits or privileges and without the necessity of examination; provided that the officer or employee possesses the minimum qualifications for the position to which transferred or appointed.
If an office or position held by an officer or employee having tenure is abolished, the officer or employee shall not thereby be separated from public employment, but shall remain in the employment of the State with the same pay and classification and shall be transferred to another office or position for which the officer or employee is eligible under the personnel laws of the State as determined by the head of the department or the governor.
SECTION 9. All appropriations, records, equipment, machines, files, supplies, contracts, books, papers, documents, maps, and other personal property heretofore made, used, acquired, or held by the Hawaii state energy office relating to the functions transferred to the energy division of the department of business, economic development, and tourism shall be transferred with the functions to which they relate.
SECTION 10. All rules,
policies, procedures, guidelines, and other material adopted or developed by
the Hawaii state energy office to implement provisions of the Hawaii Revised
Statutes that are reenacted or made applicable to energy division of the
department of business, economic development, and tourism by this Act shall
remain in full force and effect until amended or repealed by the department of
business, economic development, and tourism pursuant to chapter 91, Hawaii
Revised Statutes. In the interim, every reference to the Hawaii
state energy office in those rules, policies, procedures, guidelines, and other
material shall be amended to refer to energy division of the department of
business, economic development, and tourism.
PART III
SECTION 11. In accordance with section 9 of article VII, of the Constitution of the State of Hawaii and sections 37-91 and 37-93, Hawaii Revised Statutes, the legislature has determined that the appropriation contained in this Act will cause the state general fund expenditure ceiling for fiscal year 2024-2025 to be exceeded by $ , or per cent. The reasons for exceeding the general fund expenditure ceiling are that the appropriation made in this Act is necessary to serve the public interest and to meet the needs provided for by this Act.
SECTION 12. There is appropriated out of the general revenues of the State of Hawaii the sum of $2,664,394 or so much thereof as may be necessary for fiscal year 2024-2025 for the energy division of the department of business, economic development, and tourism.
The sum appropriated shall be expended by the department of business, economic development, and tourism for the purposes of this Act.
SECTION 13. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 14. This Act shall take effect on July 1, 2024.
Report Title:
DBEDT; HSEO; Energy Division; Chief Energy Administrator; Repeal; Transfer; General Fund Expenditure Ceiling Exceeded; Appropriation
Description:
Renames
the Hawaii State Energy Office as the Energy Division and makes it a division
of the Department of Business, Economic Development, and Tourism. Renames the Chief Energy Officer as the Chief
Energy Administrator. Clarifies the
duties of the Energy Division. Transfers
functions. Declares that the
appropriation exceeds the state general fund expenditure ceiling for 2024-2025. Makes an appropriation. (SD2)
The summary description
of legislation appearing on this page is for informational purposes only and is
not legislation or evidence of legislative intent.
